If a Group of Economists Believes the Following Points Are

Multiple Choice

If a group of economists believes the following points are TRUE, which is likely to be their policymaking stance? ∙ Aggregate demand shocks have no long run effect on real Gross Domestic Product (GDP) or unemployment.
∙ Pure competition is widespread throughout the economy.
∙ Real wages are flexible.
∙ The Phillips Curve trade-off does not exist in the long run.

A) They will support active policymaking.
B) They will support passive policymaking.
C) They will support discretionary policymaking.
D) They will argue that any attempt at economic policymaking is futile.