All of the Following Are Arguments Against Stabilization Policy Except

question 41

Multiple Choice

All of the following are arguments against stabilization policy except

• A)Economic forecasting is highly imprecise.
• B)Long lags may cause stabilization policies to in fact destabilize the economy.
• C)Monetary policy affects aggregate demand by changing interest rates.
• D)Fiscal policy must go through a long political process.

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Definitions:

Ownership Utility

The value that comes from a product's ability to satisfy ownership rights, including the use, control, and transfer of the product.

Time Utility

The increase in the value of a product or service by making it available at a convenient time for the consumer.

Place Utility

The value added to products or services by making them more accessible or available to potential users or consumers.

Individual Strategies

Personal plans or methods developed by individuals to achieve specific goals or solve problems.