Opponents of Active Stabilization Policy

question 41

Multiple Choice

Opponents of active stabilization policy

• A)generally don't believe,even in theory,that fiscal policy can stabilize the economy.
• B)generally agree that fiscal policy has no impact in the long run.
• C)believe some effects of monetary policy may be long-lived.
• D)think the Fed should simply try to fine tune the economy.

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Definitions:

Probability

A measure of the likelihood of a specific event or outcome occurring, expressed as a number between 0 and 1.

Expected Utility Function

A concept in economics that quantifies an individual's preference for different outcomes, accounting for risk and uncertainty.

Probability

A numeric expression ranging between 0 and 1 that signifies the chances of an event's occurrence.

Utility

The total satisfaction received from consuming a good or service.