The Great Moderation Consensus Among Macroeconomists Is That Fiscal Policy

question 56

Multiple Choice

The Great Moderation consensus among macroeconomists is that fiscal policy should be used sparingly because:

• A) monetary policy is always more effective.
• B) it always requires higher taxes.
• C) lags in adjusting to fiscal policy can make it counterproductive.
• D) of the risk of government waste.

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Definitions:

Sequence Of Reagents

The ordered list of chemicals used in a step-by-step chemical reaction to achieve a certain product.

Conversion

The process of changing the chemical structure of a substance to another form, often implemented in synthesis and reaction mechanisms.

Acid

A substance that donates hydrogen ions or accepts an electron pair in reactions.

Alcohol

Organic compounds characterized by the presence of one or more hydroxyl (-OH) groups attached to a carbon atom.