Which of the following is an automatic stabilizer that moves the federal budget toward deficit during an economic contraction and toward surplus during an economic expansion?
A. Congress votes for a federal investment in infrastructure.
B. corporate subsidies for green energy investments
C. unemployment benefits
D. a stimulus package that reduces personal income taxes
Answer: C
You might also like to view...
Assume that a small country produces only green peppers and red peppers. Last year, it produced 100 green peppers and 50 red peppers and sold them at prices of $2 per green pepper and $3 per red pepper
This year, it produced 150 green peppers and 60 red peppers and sold them at prices of $2 per green pepper and $4 per red pepper. What is real GDP this year if the base year is last year? A) $540 B) $350 C) $890 D) $400 E) $480 Data for 2009 Data for 2010
Technological change will
A) shift the per-worker production function down. B) move the economy to a point beneath the per-worker production function. C) shift the per-worker production function up. D) move the economy along a given per-worker production function.
The type of market in which there is direct interaction between buyers and sellers is a(n)
A) brokered market. B) auction market. C) dealer market. D) primary market.
Large income differences will be eradicated if the market mechanism is working well.
Answer the following statement true (T) or false (F)