An Example of a Built-In Automatic Stabilizer for the Canadian

question 91

Multiple Choice

An example of a built-in automatic stabilizer for the Canadian economy is:

• A)the tax system.
• B)the market interest rate.
• C)consumption expenditure.
• D)investment spending.

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Definitions:

Minimum Required Rate Of Return

The lowest acceptable return on an investment, determined by an investor's or company's risk tolerance.

Average Operating Assets

Refers to the average value of the assets employed in a business's operations over a certain period of time, used to assess operational efficiency and return on investment.

Sales

The revenue generated from goods or services provided by a company to its customers.

Turnover

The total revenues or sales achieved by a company in a specified period, or the rate at which inventory is sold and replaced.