Which of the Following Is Not a Valid Criticism of Discretionary

question 47

Multiple Choice

Which of the following is not a valid criticism of discretionary fiscal policy?

• A)Implementation of fiscal policy is sometimes difficult.
• B)Time lags in fiscal policy are long.
• C)Fiscal policy works only during periods of stagflation.
• D)Fiscal policy often affects only current income,but many economic decisions are made on the basis of permanent income.
• E)Fiscal policy might have undesirable long-term effects on aggregate supply.

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Definitions:

Shared Perceptions

The common beliefs or viewpoints held by a group of people, derived from their collective experiences and communication.

Political Nature

The aspect of interactions or situations that involves power dynamics, alliances, and strategic maneuvers to influence decisions and outcomes.

Positive Relationship

A positive relationship is characterized by mutual respect, trust, understanding, and beneficial interactions between individuals or entities.

Influence Attempt

An effort made by an individual or group to change the behavior, opinions, or decisions of others through persuasion or coercion.