Automatic Stabilizers Are Changes in Fiscal Policy That Affect __________

question 40

Multiple Choice

Automatic stabilizers are changes in fiscal policy that affect __________ without the need for explicit action by policy makers.

• A) aggregate demand
• B) the Solow growth curve
• C) short-run aggregate supply
• D) Each of these answers is correct.

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Definitions:

Sigmund Freud

The pioneer of psychoanalysis, known for his theory of the unconscious mind and mechanisms of repression.

Austrian Physician

A reference to a medical doctor from Austria, often associated with notable figures in psychology and psychiatry such as Sigmund Freud.

Functionalism

A school of psychology that focuses on how mental and behavioral processes function and enable an organism to adapt, survive, and flourish.

Psychological Approach

A perspective in psychology that emphasizes understanding mental processes, behavior, and development through various theories and techniques.