It is important for policymakers to recognize that most macroeconomic variables are characterized by
A)long-run trends and short-run fluctuations.
B)gradual increases over long periods of time.
C)short-run fluctuations that need to be smoothed for a well-functioning economy.
D)long-run economic growth.
E)the impacts of the business cycle.

Question

Quizplus · Accepted Answer

Most macroeconomic variables exhibit both long-run trends and short-run fluctuations. Policymakers need to consider both when making decisions that affect the economy.

It Is Important for Policymakers to Recognize That Most Macroeconomic