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The Controversy Over Macroeconomic Policy Can Be Characterized as a Continuum

Question 5

Multiple Choice

The controversy over macroeconomic policy can be characterized as a continuum with one end of the spectrum being held by those economists who advocate _______________, and the other end of the spectrum being held by those economists who advocate ___________________.


A) that a passive role for government is best; that an active role for government is necessary.
B) an activist monetary policy; an activist fiscal policy.
C) an activist structural policy; an activist monetary policy.
D) a passive fiscal policy; an activist fiscal policy.

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