C. expectations are important in determining the outcome of a discretionary policy.
Explanation:
Lucas Critique -
Robert Lucas was a famous economist and was awarded the 1995 Nobel Prize in the field of economics .
according to the Lucas critique ,
The consciousness of trying to predict the effects of the change in the economic policy completely on the basis of observations in the historical data .
It helps to understand that the expectations are necessary to determine the outcome of any discretionary policy .
