Why Would Policymakers Target a Reduction in GDP Growth by Using

Multiple Choice

Why would policymakers target a reduction in GDP growth by using contractionary policies?
i.The Fed fights inflation by increasing interest rates,which in turn causes a reduction in employment as a by-product.
ii.Excessive optimistic sentiments about the economy can result in an unsustainable economic expansion.

A) i) and ii) are both true
B) i) and ii) are both false
C) i) is true and ii) is false
D) i) is false and ii) is true