How Do Critics of Discretionary Stabilization Policy View Frequent Changes

question 45

Multiple Choice

How do critics of discretionary stabilization policy view frequent changes in spending and tax policy?

• A)The changes make the economy smoother, although it may not look that way to individual firms.
• B)The changes make life more difficult and hectic for Congress and the Fed.
• C)The changes smooth out the business cycle, making planning easier.
• D)The changes cause more instability in the economy and make planning more difficult.

---

Definitions:

Health Psychologists

Professionals who specialize in understanding how biological, psychological, and social factors influence health and illness.

Exercise

Physical activities intended to improve strength, fitness, and health, benefiting both physical and mental health.

Diet

The sum of the food consumed by an organism or individual, often implying a specific intake for health or weight-management reasons.

Maze Learning

A cognitive process involving the ability to remember and interpret various pathways, typically used in psychological experiments to assess spatial learning and memory.