The Existence of Lags Prevents the Instantaneous Adjustment of the Economy

question 20

Multiple Choice

The existence of lags prevents the instantaneous adjustment of the economy to policies changing aggregate demand,thereby strengthening the case for ________ policy.

• A)supply-side
• B)nondiscretionary
• C)discretionary
• D)demand-management

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Definitions:

Treasurer

A person responsible for managing the treasury of an organization, including its financial liquidity, investments, and risk management.

Financial Manager

A professional responsible for overseeing an organization's financial health, including planning, risk management, and reporting.

Financial Plan

A comprehensive evaluation of an individual’s or organization’s current and future financial state by using currently known variables to predict future cash flows, asset values, and withdrawal plans.

Additional Assets

New or extra resources, including property and equipment, acquired by a company to support its operations.