Those Who Advocate a Balanced Budget Fiscal Policy Would Agree

question 14

Multiple Choice

Those who advocate a balanced budget fiscal policy would agree with all but one of the following statements.Which is the exception?

• A)Governments should be non-interventionist.
• B)Automatic stabilizers are an effective way of avoiding extreme levels of unemployment or inflation.
• C)The economy is capable of automatic self-adjustment in response the problems of unemployment and inflation.
• D)Counter cyclical fiscal policy is a powerful and effective tool.
• E)Government budget deficits are a serious problem.

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Definitions:

Profitable

Having a financial gain or beneficial outcome, especially after all expenses have been deducted.

Market Segments

Distinct groups of consumers within a market who share similar needs, desires, and characteristics, allowing for targeted marketing strategies.

Behavioral Segmentation Variable

Criteria used in market segmentation based on patterns of consumer behavior, such as purchasing habits or brand interactions, to tailor marketing strategies.

Age

A measure of the length of time that a person has lived or a thing has existed, often used as a variable in demographics and market segmentation.