Which of the Following Is True

question 35

Multiple Choice

Which of the following is true?

• A) Automatic stabilisers help to reduce the impact of a recession.
• B) Discretionary fiscal policy cannot eliminate a recession.
• C) Automatic stabilisers are used to eliminate recessions.
• D) Discretionary fiscal policy can automatically eliminate a recession.
• E) Automatic stabilisers make discretionary policy more effective by increasing the magnitude of the multipliers.

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Definitions:

Clayton Act

A U.S. antitrust law enacted to prevent anti-competitive practices in their incipiency and to supplement the Sherman Antitrust Act.

Quantitative Substantiality Test

A legal assessment method used to evaluate the significance or amount of material copied in copyright infringement cases.

Tampa Electric Co.

Tampa Electric Company is an energy company providing electricity to the Tampa Bay area and other parts of Florida.

Robinson-Patman Act

A law at the federal level within the United States designed to prevent producers from conducting business in a way that undermines competitive fairness, with a specific focus on prohibiting price discrimination.