When the government enacts fiscal policy:
A) long-run potential output is always decreased.
B) the intervention takes a long time to actually occur.
C) the economy returns to its long-run equilibrium more quickly than it can correct itself.
D) All of these are true.
Correct Answer:
Verified
Q39: The graph shown displays various economic outcomes.
Q40: The graph shown displays various economic outcomes.
Q41: The graph shown displays various economic outcomes.
Q42: The graph shown displays various economic outcomes.
Q43: The process of deciding on and passing
Q45: Fiscal policy is often difficult to successfully
Q46: The graph shown displays various economic outcomes.
Q47: Effective fiscal policy can be difficult to
Q48: Fiscal policy can:
A) influence the economy in
Q49: One reason the government will enact fiscal
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