Refer to the Information Provided in Figure 14

Multiple Choice

Refer to the information provided in Figure 14.1 below to answer the questions that follow. Figure 14.1
-Refer to Figure 14.1. If policy makers decide on a policy at point t₃ but it does not affect the economy until period t₆, then the policy choice is likely to be

A) stabilizing.
B) destabilizing.
C) optimal.
D) automatically stabilizing.