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A Study Conducted by Christina Romer on Macroeconomic Stabilization Policy

Question 114

Multiple Choice

A study conducted by Christina Romer on macroeconomic stabilization policy in the United States after World War II concluded that


A) fiscal policy did not contribute to the rate of growth of real GDP in years following the troughs of recessions.
B) discretionary fiscal policy and automatic stabilizers contributed to the rate of growth of real GDP in years following the troughs of recessions.
C) discretionary fiscal policy but not automatic stabilizers contributed to the rate of growth of real GDP in years following the troughs of recessions.
D) automatic stabilizers but not discretionary fiscal policy contributed to the rate of growth of real GDP in years following the troughs of recessions.

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