Why Should Economists "Do No Harm" When It Comes to Stabilizing

question 96

Multiple Choice

Why should economists "do no harm" when it comes to stabilizing the economy?

• A) It takes a lot of mental effort to fix the economy and it is taxing on politicians.
• B) The economy already has built in stabilizers and sometimes trying to fix the economy only makes it worse.
• C) Money used to help fix the economy can be better used for other priorities.
• D) People are generally optimistic and the effects of a recession are not felt by the average Canadian.

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Definitions:

Board Of Directors

A group of individuals elected to represent shareholders and oversee the major decisions and policies of a company.

Par Value

Par Value is the face value of a bond or a stock as stated by the issuing company, which may not reflect the actual market value.

Market Value

The current price at which an asset or service can be bought or sold in a market.

Own Name

The legal identification used by an individual or entity for conducting transactions or signing contracts.