Policymakers could neutralize all of the following except:
A) an increase in federal government spending on defense.
B) an increase in the price of oil.
C) a trade deficit.
D) a decrease in business confidence.

Question

Quizplus · Accepted Answer

Policymakers have tools to address issues like government spending, trade deficits, and business confidence through fiscal and monetary policies. However, they have limited ability to neutralize the effects of external factors like an increase in the price of oil, which is influenced by global markets and geopolitical factors beyond their direct control.

Policymakers Could Neutralize All of the Following Except