Question

Economist A believes that the economy is self-regulating. Economy B believes that wages and prices and inflexible downward. economist C believes that the AS curve is vertical. economist d believes crowding out is complete. which economist is more likely to advocate for expansionary?

Answer 1

The correct answer is letter "B": Economist B believes that wages and prices and inflexible downward.

Step-by-step explanation:

Expansionary policy is a macroeconomics concept that focuses on expanding the economy to counteract cyclical downturns. Expansionary policies can be implemented to use monetary policy to expand the money supply and to increase government spending or tax cuts to stimulate the economy.

In that case, economist B is more likely to be advocated with expansionary policies since economist B believes in wages and prices and inflexible downward.