Another word for elasticity is

Debt grew faster than GDP during and after the recent Great Recession, when the government had to spend more (as for unemployment benefits), while its tax revenue shrank

a. True b. False Indicate whether the statement is true or false

Some economists believe that policy makers should avoid stabilization policy because

a. lags make the policy impact unpredictable. b. no tax cut ever stimulated demand. c. stabilization policies are rarely signed into law. d. it never works.