Which of the following is a good reason not to rely too heavily on the matching of policy instruments to target variables in evaluating the likely severity of social trade-offs among policy objectives?
A) Policy instruments may not be set independently.
B) Policy instruments may not operate independently even if they are specified independently.
C) Uncertainty can undermine our ability to evaluate i) policy effectiveness and ii) policy independence.
D) There is generally no synchronization of the benefits and costs of a given policy instrument.
E) All of the above.

Question

Quizplus · Accepted Answer

Each of the reasons listed (A through D) highlights a different aspect of the complexity and uncertainty involved in policy-making, which can make it difficult to rely solely on the matching of policy instruments to target variables for evaluating trade-offs. These include the interdependence of policy instruments, the potential for their effects to interact in unexpected ways, the uncertainty surrounding policy outcomes, and the asynchronous nature of policy benefits and costs.

Which of the Following Is a Good Reason Not to Rely