The nonactivists who opposed the recent fiscal stimulus package argue that
A)fiscal stimulus would take too long to work because of long implementation lags.
B)fiscal stimulus might kick in after the economy had already recovered.
C)fiscal stimulus could lead to increased volatility in inflation and economic activity.
D)all of the above.
E)none of the above.

Question

Quizplus · Accepted Answer

The nonactivists who opposed the recent fiscal stimulus package argue that fiscal stimulus would take too long to work because of long implementation lags, it might kick in after the economy had already recovered, and it could lead to increased volatility in inflation and economic activity. Therefore, all of the above options are correct.

The Nonactivists Who Opposed the Recent Fiscal Stimulus Package Argue