The major objective of countercyclical policy is
A) raising the level of business investment.
B) holding down the inflation rate.
C) increasing demand until "full employment" is attained.
D) guiding to and maintaining the economy at its trend rate of growth.

Question

Quizplus · Accepted Answer

Countercyclical policies are designed to counteract economic fluctuations by stabilizing the economy over the business cycle, aiming to maintain steady growth and avoid periods of economic boom or bust. This involves guiding and maintaining the economy at its trend rate of growth, rather than specifically targeting investment, inflation, or employment levels.

The Major Objective of Countercyclical Policy Is