Which of the Following Is an Explanation as to Why

question 14

Multiple Choice

Which of the following is an explanation as to why fluctuations in real GDP have become less volatile in Canada since 1950?

• A) The government has become less inclined to intervene to stabilize the economy.
• B) Employment insurance and other government transfer programs have become more prevalent.
• C) The government and the Bank of Canada have decreased regulation and scrutiny of the financial system.
• D) Goods manufacturing has become a larger fraction of GDP.