The idea of rational expectations suggests that
A) Only economic policies that people can anticipate are effective.
B) It is unrealistic for Congress to balance the federal budget during a recession.
C) Discretionary policies and fine-tuning can move the economy to full employment.
D) Economic policies are ineffective if the policies are anticipated.
Correct Answer:
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Q115: New classical economists differ from traditional classical
Q116: Q117: Since 1946 the U.S.economy has been marked Q118: The hypothesis that people's spending decisions are![]()
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