One role of government policy is:. a) to provide insurance to cover damages from macroeconomic fluctuations. b) to attempt to manage short-run macroeconomic fluctuations. c) to subsidize private insurance for businesses to cover harm from macroeconomic fluctuations. d) to avoid Keynesian economics.

The correct answer is letter "B": to attempt to manage short-run macroeconomic fluctuations.

Explanation:

Government policies are the rules imposed by the government that attempts to set the boundaries over a specific matter. When it comes to economics, government policies usually refers to budget planning and imposing taxes that mainly look for controlling changes in the short-term of the overall economy. These policies are said to help individuals and organizations to make better decisions.

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