Which of the Following Policy Statements Would a Classical Economist

Multiple Choice

Which of the following policy statements would a classical economist tend to support?

A) The government should be prepared to intervene when the economy changes in any way.
B) The government should only intervene in the economy when total output decreases.
C) The government should allow the economy to adjust to changes in demand on its own, without interference.
D) The government should frequently change taxes and spending levels to manipulate the economy.
E) The government should only intervene in the economy when total output increases.