Which of the following is not a reason why the U.S.economy has been more stable since 1950?
A)Goods have become a larger fraction of GDP and services have become a smaller fraction of GDP.
B)The government has actively pursued policy to combat recessions and prolong expansions.
C)Unemployment insurance and other government programs curtail the decline in spending that occurs during a recession.
D)Services have become a larger fraction of GDP and goods have become a smaller fraction of GDP.

Question

Quizplus · Accepted Answer

The U.S. economy has become more stable since 1950 partly because services, which are generally less volatile than goods, have become a larger fraction of GDP, not the other way around as stated in option A.

Which of the Following Is Not a Reason Why the U.S.economy