Economists who view the economy as naturally stable often argue that:
A) monetary and fiscal policies should not be used to "fine tune" the economy.
D) the economy should be stimulated when it is depressed and slowed when it is overheated.
C) the economy should be slowed when it is depressed and stimulated when it is overheated.
D) economists should act to stimulate or slow the economy on the basis of forecasts in order to assure that the policy actions are timely.
Correct Answer:
Verified
Q2: The lag between the time that economic
Q5: The lags involved in implementing monetary and
Q9: The inside lag is the time:
A) before
Q9: Arguments in favor of active economic policy
Q10: Passive economic policy seeks to:
A) offset fluctuations
Q10: Arguments in favor of passive economic policy
Q15: Economists who view the economy as inherently
Q16: The time between a shock to the
Q20: Increasing government spending when the economy is
Q22: The time between when government spending increases
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