A major problem with using fiscal policy is that:
A) fiscal policy has no effect on cyclical unemployment.
B) the federal government has no authority to spend or tax to stabilize the economy.
C) public officials are extremely reluctant to turn to fiscal policy to control the economy.
D) there are time lags between the identification of a problem and the development of a fiscal policy to deal with the problem.
Correct Answer:
Verified
Q109: You would expect a balanced federal budget
Q110: You would expect the level of economic
Q111: Automatic stabilizers:
A) keep the federal budget from
Q112: Efforts to reduce the federal deficit:
A) could
Q113: Which of the following statement is FALSE?
A)
Q115: The federal government may not pursue a
Q116: Implementing proper fiscal policy is difficult when
Q117: The effect of a tax increase when
Q118: Which of the following statements is true?
A)
Q119: Public choice is the study of:
A) public
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