Which of the Following Is a Major Deficiency of Fiscal

question 107

Multiple Choice

Which of the following is a major deficiency of fiscal policy as a stabilization tool?

• A) Congress is reluctant to make changes in either taxes or expenditures.
• B) The Constitution requires the president to submit and Congress to pass a balanced budget.
• C) Both political and economic factors make it unlikely that changes in fiscal policy will be timed correctly.
• D) A change in fiscal policy exerts major effects on the economy quickly.

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Definitions:

Whistle-Blower

A person who informs on a person or organization regarded as engaging in an unlawful or immoral activity.

Goes Public

The process by which a private company offers its shares to the public for the first time through an initial public offering (IPO).

Improper Actions

involve behaviors or activities that are unethical, illegal, or not in accordance with established standards or policies.

Social Responsibility

The obligation of individuals, organizations, and businesses to contribute to the welfare of society and operate in an ethically, environmentally, and socially aware manner.