1. Which of the following is a major area of disagreement between activists and nonactivists? Group of answer choices -Activists believe discretionary macroeconomic policy can be applied in a manner that will enhance economic stability. Nonactivists disagree. -Activists believe monetary policy is more potent than fiscal policy. Nonactivists disagree. -Activists believe changes in monetary and fiscal policy exert their effects instantaneously. Nonactivists think they work only with a substantial lag. -Nonactivists think macroeconomic policy is sometimes motivated by the pursuit of political gain. Activists disagree.   Which of the following is correct?

Principles of Economics, 7th Edition (MindTap Course List)
7th Edition
ISBN:9781285165875
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter36: Six Debates Over Macroeconomic Policy
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Which of the following is a major area of disagreement between activists and nonactivists?
Group of answer choices
-Activists believe discretionary macroeconomic policy can be applied in a manner that will enhance economic stability. Nonactivists disagree.
-Activists believe monetary policy is more potent than fiscal policy. Nonactivists disagree.
-Activists believe changes in monetary and fiscal policy exert their effects instantaneously. Nonactivists think they work only with a substantial lag.
-Nonactivists think macroeconomic policy is sometimes motivated by the pursuit of political gain. Activists disagree.
 
Which of the following is correct?
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