A Major Benefit of Automatic Stabilizers Is That They

question 64

Multiple Choice

A major benefit of automatic stabilizers is that they:

• A)guarantee a balanced budget over the course of the business cycle.
• B)have a tendency to reduce the national debt.
• C)help increase recessionary gaps in the economy.
• D)moderate the effect of fluctuations in the business cycle.
• E)require legislative review by Congress before they can be implemented.

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Definitions:

Savannah

A mixed landscape of grasslands and scattered trees, often found in tropical to subtropical regions, supporting a diverse array of flora and fauna.

Grasslands

Ecosystems dominated by grasses, often found in regions where there is not enough regular rainfall to support the growth of a forest, but more than that to form a desert.

Cool, Dry Season

A period in some climates characterized by lower temperatures and minimal precipitation, often occurring in the winter or the dry season in tropical regions.

Temperate Rain Forest

A biome located in temperate regions characterized by consistent rainfall throughout the year, resulting in lush, dense forests with a diverse array of plant and animal life.