Explain Why Each of the Following Statements Is a Rationale

question 2

Essay

Explain why each of the following statements is a rationale for conducting active or passive policy:
a. Economic circumstances can change dramatically between the time that an economic downturn begins and the time when policy actions have an effect on the economy.
b. Economists are not very accurate forecasters.
c. Increases in government spending generate increases in economic output. d. Fluctuations in economic output have been less severe since World War II.

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Definitions:

Cerebellum

A part of the brain at the back of the skull in vertebrates, crucial for coordination, precision, and accurate timing of movements.

Cerebrum

The largest part of the brain, responsible for voluntary actions, sensory perception, thought, reasoning, and memory.

Diencephalon

A division of the brain located between the cerebral hemispheres and brainstem, encompassing structures such as the thalamus and hypothalamus.

Midbrain

The middle portion of the brainstem that plays a role in vision, hearing, motor control, sleep/wake, arousal (alertness), and temperature regulation.