The Advantage of Automatic Stabilizers Over Discretionary Fiscal Policy Is

question 65

Multiple Choice

The advantage of automatic stabilizers over discretionary fiscal policy is that automatic stabilizers

• A) have the full consent of the legislature.
• B) have been vetted and approved by the courts.
• C) do not require overt action by policymakers.
• D) take longer to take effect than fiscal policy.

---

Definitions:

Accounting Services

Professional services that deal with the recording, reviewing, and interpreting financial transactions and statements.

Tax Returns

Documents filed with a tax authority that report income, expenses, and other relevant tax information to calculate tax liability.

Income

Money received, especially on a regular basis, through work, investments, business, etc., for goods or services provided.

Realized

Pertains to the conversion of an asset into cash or when a gain or loss is acknowledged upon selling or trading an asset.