Opponents of active stabilization policy
A)advocate a monetary policy designed to offset changes in the unemployment rate.
B)argue that fiscal policy is unable to change aggregate demand or aggregate supply.
C)believe that the political process creates lags in the implementation of fiscal policy.
D)feel that fiscal and monetary policy should only be used to counteract short-run fluctuations but not long-run goals.

Question

Quizplus · Accepted Answer

Opponents of active stabilization policy often argue that the political process introduces delays in the implementation of fiscal policy, making it ineffective or even counterproductive in managing economic fluctuations.

Opponents of Active Stabilization Policy