Which statement do opponents of active stabilization policy believe?
A) Fiscal policy cannot stabilize the economy even in theory.
B) Fiscal policy has no impact in the long run.
C) The effects of monetary policy may last for several years.
D) The Bank of Canada should try to fine-tune the economy with steady growth in the money supply.

Question

Quizplus · Accepted Answer

Opponents of active stabilization policy argue that the effects of monetary policy can be long-lasting and unpredictable, making it difficult to fine-tune the economy effectively.

Which Statement Do Opponents of Active Stabilization Policy Believe