Believers in Fixed Rules Maintain That

question 61

Multiple Choice

Believers in fixed rules maintain that

• A)with accurate forecasts, we can see inflation coming at least one year ahead of time.
• B)the length of stabilization lags is not important because fiscal policy actions are taken quickly and the economy feels the effect on aggregate demand quickly.
• C)we should forget about discretionary policy and put the economy on autopilot, relying instead on automatic stabilizers and the economy's self-correcting mechanism.
• D)the economy's self-correcting mechanism is slow and not very reliable, even with automatic stabilizers.

---

Definitions:

Negative Symptoms

Features often associated with schizophrenia, including lack of motivation, reduction in spontaneous speech, and diminished emotional expression.

Dopamine

A neurotransmitter involved in controlling movement and posture, modulating mood, and playing a central role in positive reinforcement and dependency.

Typical Drugs

Medications or substances commonly used or prescribed, based on a standard set of medical conditions.

Schizophrenia Treatment

Various approaches, including medication, psychotherapy, and support services, aimed at managing symptoms and improving the quality of life for individuals with schizophrenia.