What is the essence of the problem with targeting with fiscal policy?
A. In order to meet interest rate targets, fiscal policy must be enacted very quickly.
B. It is difficult for the government to determine the target unemployment rate.
C. Economic data takes time to analyze, so the government may not know when the economy has reached its target.
D. The government may not have projects ready that will employ the people who are unemployed.
Ans: D. The government may not have projects ready that will employ the people who are unemployed.
You might also like to view...
All of the following are true regarding the Sherman Act except which one?
A) It condemns the act of becoming a monopoly. B) It addresses both monopolies are cartels. C) It was the second major piece of antitrust legislation. D) It condemns the act of trying to become a monopoly.
The demand for borrowed funds is
a. directly related to the interest rate. b. inversely related to the growth in gross domestic product. c. a derived demand. d. leads to derived demand for capital goods.
The slope of a line is the
A. values on the y-axis divided by the values on the x-axis. B. values on the x-axis divided by the values on the y-axis. C. change in the values along the x-axis divided by the change in the values along the y-axis. D. change in the values along the y-axis divided by the change in the values along the x-axis.
The time period during at least one input cannot be changed is the
A) production time. B) calendar year. C) long run. D) short run.