Refer to the Above Diagram

question 91

Multiple Choice

Refer to the above diagram.Automatic stability in this economy could be decreased by:

• A)shifting the government expenditure line upward but parallel to its current position.
• B)changing the tax system so that the tax line is shifted upward but parallel to its present position.
• C)changing the government expenditures line so that it has a negative slope.
• D)changing the tax system so that the tax line has a flatter slope.

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Definitions:

Standard Deviation

An approach to measure the diversity or scattering of figures in a dataset.

Mean

The average of a set of numbers, obtained by dividing the sum of the numbers by the count of numbers.

Normal Random Variable

A random variable that has a normal distribution, often used in statistics and probability theory.

Standard Deviation

A measure of the amount of variation or dispersion in a set of values, indicating how much the values differ from the mean of the set.