Question - Economics

[CFAHouston]

An economist states, "Fiscal poliy is an ineffective tool with which to affect aggregate demand because the government ultimatel needs to repay its debt through higher taxes. Thus, budget deficits merely affect the timing of the taxes."
This view about macroeconomic policy is most consistent with the:

A. Supply-side model
B. Crowding-out model
C. new classical modeld
D. basic keynesian model.

 

[fwvagabond]

C.

 

[jamespucyk]

Yup C, new classical