Assess the following statements (S 1) and (S 2). Are they both true, both false or is

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Assess the following statements \(S 1\) and \(S 2\). Are they both true, both false or is only one true? Justify your answer making reference to the objectives of the policy maker.

S1. Economic policy should aim to limit firm-level volatility.

S2. Economic policy should aim to limit macro-level volatility.

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