Explain how firms/businesses compete without lowering their prices

There are several ways a firm can compete without lowering their prices and they all involve differentiating themselves from competition. This is done by:

having a product with actual physical differences (samsung and Apple phones compete because they are similar but ultimately have different features)Providing better service: there may be 100 dry cleaners in your city, but if one always makes sure your clothes are perfect and treats you like a valued customer you will go to them even if they don't cut prices. Advertising - ads will increase the recognition of the brand and help it stand out in the marketplace without having to attract customers by dropping the price

The federal reserve took an expansionary approach during the crisis. this was done by expanding the money supply and boosting liquidity. this can be seen in the fed's actions of lending to banks, purchasing securities, and lowering the federal funds rate in order to lower overall interest rates. the fed's goal was to increase consumer spending and overall liquidity within the system, and they pursued this by expanding the supply of liquid money.