Asked by
Azier Sierra
on Oct 13, 2024
Verified
Which of the following is NOT an automatic stabilizer?
A) A change in the tax rate to fight a recession.
B) A decrease in tax collections due to a recession.
C) Decreased unemployment benefits as the economy expands.
D) Increased public assistance payments during a recession.
E) All of the choices are correct
Automatic Stabilizer
Economic policies and programs, such as unemployment insurance, that automatically adjust to counteract economic fluctuations without the need for explicit government intervention.
- Understand the contribution and effects of automatic stabilizers on economic stability.
Verified Answer
JT
Learning Objectives
- Understand the contribution and effects of automatic stabilizers on economic stability.