An illustration of the term "automatic stabilizer" is provided by
A. The tendency of tax collections to rise as the economy moves into a recession.
B. The tendency of tax collections to fall as the economy moves into a recession.
C. Increases in tax rates as the economy moves into a recession.
D. Decreases in tax rates as the economy moves into a recession.
B. The tendency of tax collections to fall as the economy moves into a recession.
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An important factor that contributes to labor productivity growth is:
A) growth in the capital stock. B) technological change. C) the standard of living. D) A and B only E) A, B, and C are correct.
The Federal Deposit Insurance Corporation (FDIC):
a. insures all demand deposit accounts up to $10 million in banks choosing FDIC protection. b. was created as a government-owned corporation following the creation of the World Bank and the International Monetary Fund after World War II. c. rarely evaluates bank performance to detect weaknesses in operation. d. creates monetary policy in conjunction with the Federal Reserve Board. e. was created to reduce the risk of banking by compensating depositors and keeping bank failures from spreading.
The slope of the aggregate supply curve becomes steeper, the faster the costs of production adjust to prices and the smaller the amount of excess capacity in the economy
a. True b. False Indicate whether the statement is true or false
The price charged by an oligopolist who has a kinked demand curve would be _______ than the price charged by a perfect competitor.
Fill in the blank(s) with the appropriate word(s).