Answer:
Increased Inflation.,
Cutting interest rates isn’t guaranteed to cause a strong economic recovery. Expansionary monetary policy may fail under certain conditions.
If confidence is very low, then people may not want to invest or spend, despite lower interest rates.
In a credit crunch, banks may not have funds to lend, therefore although the Central Bank cuts base rates, it is still difficult to get a loan from a bank.
Commercial banks may not pass the base rate cut on.
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The Articles of Confederation was the United States' first constitution. It was composed keeping in mind the end goal to join states after the American Revolution. Nonetheless, in light of the fact that the American individuals dreaded solid national governments at the time, it didn't give adequate energy to the central government.
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