For each of these hyperbolized statements, identify the fiscal policy qualification to which it is related. (LO8)

a. Fiscal policy is just as likely to impact a nation’s actual GDP as its potential GDP.

b. Given the average duration of recent recessions, fiscal policy is destined to help that arrives only after the problem is already fixed.

c. While Keynesian economic theory states that fiscal policy is effective at addressing both types of output gaps, governments have a tendency to only use expansionary fiscal policy in real life at a cost to future generations.