All of the following make the use of fiscal policy less attractive EXCEPT
A) expansionary fiscal policy tends to cause inflation and offsets some of the increased consumer spending.
B) that it cannot be effective, unless it is accommodated with expansionary monetary policy.
C) the substantial margin of error in the value of the multiplier.
D) the legislative lag, which is the time it takes for Congress and the President to pass and implement the measure.
E) the crowding out effect, which is the decrease in private spending that occurs due to increased government spending.
B
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The opportunity cost of something is the nominal price paid for the product
Indicate whether the statement is true or false
A . What action would a government take to keep its exchange rate from rising if demand for its currency increases? b. Why would a government want to keep its exchange rate from rising?