The Existence of Automatic Stabilizers Causes

question 52

Multiple Choice

The existence of automatic stabilizers causes:

• A) the size of any budget deficit to decrease as the economy enters a recession.
• B) the effects of a given change in autonomous expenditures on output to be larger than they would be if there were no automatic stabilizers.
• C) no change in the size of the budget deficit as the economy enters a recession.
• D) the size of any budget deficit to increase as the economy enters a recession.

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Definitions:

Culture

The sum of attitudes, customs, and beliefs that distinguishes one group of people from another, transmitted through language, material objects, ritual, institutions, and art, from one generation to the next.

Vygotsky

A Soviet psychologist known for his work on psychological development in children, emphasizing the roles of cultural mediation and social interaction.

Cross-cultural

Relating to or involving comparison between two or more different cultures or cultural areas.

Categorization

The process of recognizing, identifying, and understanding by grouping, sorting, or classifying objects, ideas, or experiences based on common attributes.