Those Who Favor an Active Approach to Policy Believe That

question 4

Multiple Choice

Those who favor an active approach to policy believe that _____

• A) discretionary monetary policy cannot be used to help an economy since monetary policy lags are long.
• B) discretionary fiscal policy cannot be used to help an economy since fiscal policy lags are long.
• C) the lags associated with implementing policies are too long and unstable for discretionary policy to be effective.
• D) despite the lags involved, implementing discretionary policy is preferable to inaction.
• E) discretionary fiscal policy cannot be used to help an economy since it leads to inflation.

---

Definitions:

Congenital Respiratory Disorder

A respiratory disorder that is present at birth, affecting the structure or function of the respiratory system.

Pulmonary Hypoplasia

A developmental defect characterized by the incomplete development of the lungs, resulting in reduced lung size and capacity.

Tuberculous Pleurisy

A form of pleural inflammation where the pleura (the membrane surrounding the lungs) is infected by tuberculosis bacteria.

Respiratory Bronchiolitis

An inflammatory injury to the small airways in the lungs often associated with tobacco smoking.