Asked by
Isaiah schwartz
on Dec 11, 2024
Verified
During a recession, the political incentive structure will encourage politicians to
A) undertake sound economic policies that are consistent with stability and growth.
B) adopt any policies, even bad ones, that give the appearance of taking action.
C) undertake policies that promote long-term economic growth rather than short-term benefits.
D) do nothing and let the recession run its course.
Recession
A significant decline in economic activity spread across the economy, lasting more than a few months.
Political Incentive
A reason or motivation based on political goals or outcomes, influencing the actions of politicians or governments.
- Examine the implications of political decision-making and public choice theory on economic policies.
Verified Answer
JW
Learning Objectives
- Examine the implications of political decision-making and public choice theory on economic policies.