Even though the monetary policy is very quick recognize and respond to the coming of a recession than fiscal policy,it has proven in the 2000's to be less affective in avoiding or bring the economy out of the recession because
A) Increased investment by the private sector has not been forthcoming in response to the reduction in interest rates.
B) Consumers have tended to increase saving and decrease consumption.
C) Our economy has increased imports during recessions.
D) The government has imposed fiscal policy to counteract the monetary policy.
Correct Answer:
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