Automatic stabilizers smooth fluctuations in the economy because they produce changes in the government's budget that
A. reinforce changes in GDP.
B. produce a dynamically-adjusted budget.
C. produce a standardized budget.
D. help offset changes in GDP.
Answer: D
You might also like to view...
In terms of exposing others to risk, explain if there is a difference between you choosing to text while driving
and a company selling tablet computers where the batteries have been known to explode when the tablet is left on for a long period of time.
Which of the following are reasons for the increased centralization in school financing?
a. The existence of diseconomies of scale in education. b. A desire by state education agencies to decentralize control. c. A desire to equalize funding across school districts. d. Increasing positive externalities from education as globalization increases.
When the government steps in to help determine prices, it is called
a. price ceilings. b. price floors. c. equilibrium prices. d. price control.
In response to the demands of environmentalists, large sections of timberlands are put off limits to logging. What effect will this have on the aggregate supply curve?
a. Shift it outward. b. Shift it inward. c. Move the economy up along the curve. d. Move the economy down along the curve.