A Problem with Supply-Side Fiscal Policies Is That They

question 52

Multiple Choice

A problem with supply-side fiscal policies is that they:

• A) don't work.
• B) take longer to work than demand-side fiscal policies.
• C) only increase inflation.
• D) only decrease inflation.

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Definitions:

Federal Reserve Board

An independent agency of the federal government established in 1913 to regulate the nation’s banking and financial industry.

Securities

Financial instruments that represent an ownership position in a publicly-traded corporation (stock), a creditor relationship with a governmental body or a corporation (bond), or rights to ownership as represented by an option.