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Why does Quarles believe that QE is particularly important whenthe Fed is at the zero...

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Economics

Why does Quarles believe that QE is particularly important whenthe Fed is at the zero lower bound? A. At the zero lower bound, QEis the only effective policy to stimulate the economy. B.Traditional monetary policy is not effective at the zero lowerbound and the Fed needs QE to stimulate the economy. C. Changes tothe ON RRP and IORB have not proven to be significant monetarypolicy tools. D. With no available reserves in a scarce-reservesregime, the Fed cannot use traditional monetary policies tostimulate the economy.

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