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What Are Two Examples of the Policy Recommendations Made by Economists

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What are two examples of the policy recommendations made by economists who favor the use of the DSGE model in crafting policy?


Definitions:

Toilet Trained

The process by which young children learn to use the toilet for urination and defecation independently.

Parental Death

The loss of a parent, which is a profoundly impactful event in a person's life, often resulting in significant emotional and psychological adjustments.

Cognitive Dissonance Theory

The theory that we act to reduce the discomfort (dissonance) we feel when two of our thoughts (cognitions) are inconsistent. For example, when we become aware that our attitudes and our actions clash, we can reduce the resulting dissonance by changing our attitudes.

Leon Festinger

A psychologist best known for his theory of cognitive dissonance, which describes the discomfort experienced when holding conflicting ideas or beliefs.

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