In order to make effective policy changes, policy makers need to know
A) where the economy is going to be six to twelve months from now.
B) the magnitude of past recessions.
C) Keynesian economics.
D) the exact size of the current M1 money supply.

Question

Quizplus · Accepted Answer

Policy makers need to anticipate future economic conditions to implement timely and effective policy changes. Understanding where the economy is headed helps in making informed decisions to either stimulate or cool down the economy as needed.

In Order to Make Effective Policy Changes, Policy Makers Need