Which of the following believe that discretionary monetary policy and discretionary fiscal policy are effective countercyclical policy actions? activists
A)rule advocates
B)activists
C)new classical economists
D)rational expectations theorists

Question

Which of the following believe that discretionary monetary policy and discretionary fiscal policy are effective countercyclical policy actions? activists
A)​rule advocates
B)​activists
C)​new classical economists
D)​rational expectations theorists

Quizplus · Accepted Answer

Activists believe in the use of discretionary monetary policy and discretionary fiscal policy to stabilize the economy during economic downturns. Rule advocates argue for a rules-based approach to monetary and fiscal policy, while new classical economists and rational expectations theorists believe that such policies are ineffective in the long run.

Which of the Following Believe That Discretionary Monetary Policy and Discretionary