Policymakers following a "lean against the wind" policy would
A)increase government expenditures when output is low and decrease them when output is high.
B)increase government expenditures when output is low and do nothing when output is high.
C)decrease government expenditures when output is low and increase them when output is high.
D)decrease government expenditures when output is high and do nothing when output is low.

Question

Quizplus · Accepted Answer

"Lean against the wind" policy involves counter-cyclical fiscal measures, such as increasing government expenditures during low output periods and decreasing them during high output periods to stabilize the economy.

Policymakers Following a "Lean Against the Wind" Policy Would