Automatic Stabilizers

question 52

Multiple Choice

Automatic stabilizers

• A) increase the problems that lags cause in using fiscal policy as a stabilization tool.
• B) are changes in taxes or government spending that increase aggregate demand without requiring policymakers to act when the economy goes into recession.
• C) are changes in taxes or government spending that policymakers agree to when the economy goes into recession.
• D) are part of discretionary fiscal policy.

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Definitions:

Heritability Coefficient

A statistical estimate that indicates how much of a trait's variation in a population is due to genetic differences among individuals.

Phobias

Irrational fears of specific objects, activities, or situations that lead to avoidance behavior.

Alcoholism

A chronic disease characterized by uncontrolled drinking and preoccupation with alcohol, leading to significant impairment or distress.

Extraversion

A personality trait characterized by sociability, talkativeness, and a tendency to seek stimulation in the company of others.