There are four limitations to the effectiveness of discretionary fiscal policy. Which item below is NOT one of these limitations?
A) The fiscal multiplier
B) The shrinking area of Parliamentary discretion
C) The legislation time lag
D) Estimating potential GDP
E) Errors in economic forecasting
Correct Answer:
Verified
Q53: An increase in income tax shifts the
Q54: Q55: Once supply-side effects are taken into account, Q56: In the labour market, the income tax Q57: An increase in government expenditure can _ Q59: The supply-side effects show that an income Q60: If government expenditure increases by $200 billion Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
