Arguments in Favor of Active Economic Policy Include All of the Following

question 10

Multiple Choice

Arguments in favor of active economic policy include all of the following except:
A) failing to use monetary and fiscal policy leads to inefficient fluctuations in output and employment.
B) the Great Depression could have been avoided if the Federal Reserve had pursued a policy of steady money growth.
C) fluctuations in real GDP have been less severe following World War II than prior to World War I.

• A)failing to use monetary and fiscal policy leads to inefficient fluctuations in output and employment.
• B)the Great Depression could have been avoided if the Federal Reserve had pursued a policy of steady money growth.
• C)fluctuations in real GDP have been less severe following World War II than prior to World War I.
• A)failure of policymakers to respond to large contractionary shocks to private spending caused the Great Depression.

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Definitions:

Style Flexing

Adjusting one’s communication or behavior based on the audience or situation to achieve better outcomes or interactions.

Leadership Effectiveness

The extent to which a leader is able to achieve desired results through the direction, coordination, and influence over others' actions.

Driver Social Style

A personality type characterized by a direct, assertive, and goal-oriented approach to interpersonal interactions.

Stereotyping

Oversimplified and generalized beliefs about a particular group of people, leading to prejudiced attitudes or behaviors.