Automatic Stabilizers

question 17

Multiple Choice

Automatic stabilizers:

• A)require a vote from Parliament before each time they are put into effect.
• B)have no outside lag.
• C)have no inside lag.
• D)have long and variable inside lags.

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Definitions:

Trustee

A trustee is an individual or a financial institution appointed to manage assets or property for the benefit of others, typically in the context of a trust or estate.

Government-Wide Financial Statements

Comprehensive financial reports that present the financial position and the results of operations of all governmental activities and entities as a single entity.

Reporting Period

A specific duration of time for which financial activities and performance are recorded and reported.

Governmental Funds

Categories of funds used by governments to account for financial resources devoted to specific purposes other than business-type activities.