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    Principles of Macroeconomics Study Set 8
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    Exam 21: The Influences of Monetary and Fiscal Policy on Aggregate Demand: Using Policy to Stabilize the Economy
  5. Question
    Opponents of Active Stabilization Policy
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Opponents of Active Stabilization Policy

Question 44

Question 44

Multiple Choice

Opponents of active stabilization policy


A) advocate a monetary policy designed to offset changes in the unemployment rate.
B) argue that fiscal policy is unable to change aggregate demand or aggregate supply.
C) believe that the political process creates lags in the implementation of fiscal policy.
D) None of the above is correct.

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