Countercyclical Fiscal Policy Attempts to

question 59

Multiple Choice

Countercyclical fiscal policy attempts to

• A) smooth out expansions and recessions in the business cycle.
• B) prevent economies from falling into recession.
• C) prevent economies from entering into expansion.
• D) maximize expansions and minimize recessions.
• E) maximize expansions and maximize recessions.

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Definitions:

Gallbladder

A small organ located under the liver, responsible for storing and concentrating bile.

Absorbs Water

The process of taking in water through osmosis, often referring to how the large intestine recovers water from digested food to maintain bodily hydration.

Digestive System

A group of organs working together to convert food into energy and basic nutrients to feed the entire body, including processes like ingestion, digestion, absorption, and excretion.

Cardiovascular System

The network of organs and vessels through which blood flows, carrying oxygen and nutrients to the body's cells, and removing waste products.