Which One of the Following Is an Area of Continued

question 88

Multiple Choice

Which one of the following is an area of continued disagreement among modern macroeconomists with regard to the use of fiscal policy?

• A) Automatic stabilizers help reduce the fluctuations in aggregate demand and output.
• B) It is difficult to time changes in discretionary fiscal policy in a manner that will promote stability.
• C) Fiscal policy is much less potent than the early Keynesian view implied.
• D) Budget deficits are a highly effective tool with which to combat a severe recession.

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Definitions:

Sibling Relationships

The dynamic interpersonal bonds between brothers and sisters, influenced by factors such as birth order, personality, and family environment.

Cultural Differences

Variations in the practices, values, and beliefs among different groups of people.

Resilient Child

A child who demonstrates the ability to withstand or recover quickly from difficult conditions or situations.

Qualities

Inherent or distinctive characteristics or attributes of a person, object, or process.