Active fiScal and Monetary Policy Is Required to Move an Economy

question 9

Multiple Choice

Active fiscal and monetary policy is required to move an economy back to equilibrium when:

• A) the pace of adjustment of prices and wages is sluggish.
• B) wages and prices are highly flexible.
• C) the long-run aggregate supply curve is upward sloping.
• D) the aggregate demand curve is vertical.

---

Definitions:

Strengths/Advantages

Positive attributes or aspects of something that give it a competitive edge or make it superior in some respects.

Weaknesses/Disadvantages

The aspects of a situation or organization that are detrimental to achieving success or objectives.

Do-Not-Track Regulations

Laws or policies that allow users to opt-out of tracking by websites and online services, aimed at protecting user privacy.

Website Owners

Individuals or entities that hold legal ownership of a website, responsible for its content, functionality, and maintenance.