Which of the following statements is consistent with the political business cycle theory?
A)The economy expands after the elections.
B)The economy contracts after the elections.
C)The economy expands before the elections.
D)The economy contracts before the elections.

Question

Quizplus · Accepted Answer

The political business cycle theory suggests that politicians manipulate the economy to improve their chances of re-election, often by stimulating the economy before elections to create a favorable economic environment.

Which of the Following Statements Is Consistent with the Political