Question

12. Which of the following is true of active fiscal policy actions? a. Policymakers can pinpoint the economic outcomes of their policies. b. The political process makes it easy to pass needed actions in times of economic crisis. c. Economic conditions will stay the same without policymaker action. d. It is often difficult for policymakers to know whether policies had any impact on the economy.

Answer 1

Which of the following is true of active fiscal policy actions? Policymakers can pinpoint the economic outcomes of their policies. An active fiscal policy means that the president and those in congress try and change the economy by how they tax people and how they spend their money. By watching how the government spends their money more closely, it allows the policymakers to have a better understanding of where money is going and how they can make adjustments to our economy by allocating money in different places.

Answer 2

Policy makers can pinpoint the economic outcomes of their policies