Economists and Policy Makers Questioned the Effectiveness of Discretionary Fiscal

question 72

Multiple Choice

Economists and policy makers questioned the effectiveness of discretionary fiscal policy during the 1970s for all the following reasons except:

• A)the difficulty of estimating the natural rate of unemployment.
• B)the time lags involved in implementing fiscal policy.
• C)the existence of possible feedback effects of fiscal policy on aggregate supply.
• D)the distinction between current and permanent income.
• E)the possible feedback effects of fiscal policy on aggregate demand.

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Definitions:

Functionalists

Scholars and theorists who analyze society in terms of its institutions and the roles these institutions play in maintaining social order.

Sexual Identity

An individual's personal sense of their own sexuality or sexual orientation.

Social Disorder

A condition in which the normal social processes and structures are disrupted, leading to a decline in societal functioning and well-being.

Pro-And Antiabortion

Positions for and against the legality and moral acceptability of abortion, often reflecting deep ethical, moral, and political beliefs.