Game theory analysis of macro policy suggests that as voters become more short-sighted
A)policy makers will be tempted to raise taxes.
B)policy makers will be forced to balance the budget.
C)policy makers will adopt policies today to achieve balanced budgets in the future.
D)all of the above
E) none of the above

Question

Quizplus · Accepted Answer

Game theory analysis of macro policy, when considering short-sighted voters, does not inherently lead to any of the specific outcomes listed in options A, B, or C. The reaction of policymakers to short-sighted voters can vary widely depending on numerous factors, including political ideology, economic conditions, and institutional constraints. None of the options provided directly follow from the premise of voters becoming more short-sighted in the context of game theory analysis.

Game Theory Analysis of Macro Policy Suggests That as Voters