Which of the Following Statements Is True

question 134

Multiple Choice

Which of the following statements is true?

• A) Unlike monetary policy, fiscal policy is not subject to lags.
• B) Like monetary policy, fiscal policy is also subject to the same types of lags.
• C) In general, fiscal policy lags are much shorter than monetary policy lags.
• D) Although both monetary and fiscal policies are subject to lags, fiscal policy lags are easier to eliminate.

Understand the role of cost-benefit analysis in determining economically efficient actions.

Recognize progress indicators in an Earth-sustaining economy.

Analyze the effectiveness and shortcomings of various pollution control approaches in internalizing external costs.

Evaluate the impact of environmental regulation on businesses.

---

Definitions:

Alternative Hypothesis

A hypothesis that contradicts the null hypothesis, proposing that a significant difference or effect exists in a population parameter.

Statistical Hypotheses

Statements made for statistical testing, often involving assumptions about a population parameter that can be tested against observed data.

Can Occur

Indicates the possibility or likelihood that an event or condition may happen.

Event

An occurrence or outcome in a probabilistic context, which can be one or more results of an experiment or random process.