The nonactivists who opposed the recent fiscal stimulus package argue that
A) fiscal stimulus would take too long to work because of long implementation lags.
B) fiscal stimulus might kick in after the economy had already recovered.
C) fiscal stimulus could lead to increased volatility in inflation and economic activity.
D) all of the above.
E) none of the above.
D
You might also like to view...
The amount of loans that a bank can create is limited by
A) a law enacted by Congress. B) the bank's excess reserves. C) a directive from the Federal Reserve System, which takes into account the bank's financial stability. D) the real interest rate. E) the bank's government securities.
Which one of the following would be most compatible with the goals of the government to both improve economic growth and reduce the trade deficit?
What will be an ideal response?