Which of the Following Supports the Argument for Hands-On Policy

question 97

Multiple Choice

Which of the following supports the argument for hands-on policy?

• A)Greater stability of the economy in the last 40 years.
• B)The existence of the four obstacles to policy success.
• C)The failure of discretionary policy.
• D)The theory of rational expectations.

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Definitions:

Marginal Opportunity Cost

The loss of potential gain from other alternatives when one alternative is chosen, especially in the context of resource allocation.

Production Possibilities Schedule

A table that shows the different combinations of two goods that can be produced with fixed resources and technology.

Tanks

Armored combat vehicles with heavy firepower and strong defensive capabilities, primarily used by military forces in ground warfare.

Opportunity Cost

The cost of foregone alternatives, or what is given up in order to pursue a certain action or decision.