If the economy falls into a recession, automatic stabilizers will cause
A. tax receipts to rise and government spending to fall.
B. tax receipts to fall and government spending to rise.
C. both tax receipts and government spending to rise.
D. both tax receipts and government spending to fall.
Answer: B
You might also like to view...
Which of the following is likely to lead to a decrease in the demand for tennis balls?
A. An increase in the price of tennis balls. B. An increase in the price of the rubber used to make tennis balls. C. An increase in the price of tennis racquets. D. An increase in the expected future price of tennis balls.
Which of the following constitutes a currency drain from the banking system?
a. Purchase of government securities b. New demand deposits c. Banks lending out all excess reserves d. A banking panic that leads to large withdrawals from banks e. Lower required reserve holdings
Productivity growth tends to affect all industries to the same degree
a. True b. False Indicate whether the statement is true or false
To determine who would be the best person work on a market analytics project to facilitate a company-wide re-branding initiative, Lauren secretly timed and recorded how long it took three of her staff to complete a mini-analytics project before deciding to whom she would assign the project. What tool was Lauren using?
a. She was using the record-time-test tool. b. She was using the work assignment tool. c. She was using the efficiency study. d. She was using the time-and-motion-study.