If Aggregate Output Decreases, _____

question 120

Multiple Choice

If aggregate output decreases, _____

• A) federal budget deficit decreases.
• B) tax revenue increases.
• C) automatic stabilizers will tend to increase the size of the deficit.
• D) automatic stabilizers will tend to decrease the size of the deficit.
• E) transfer payments decrease as fewer people become eligible for public assistance.

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Definitions:

Advantages

Conditions or circumstances that put one in a favorable or superior position compared to others.

Fertility Drugs

Medications used to stimulate ovulation in order to increase the chance of pregnancy in women who have difficulty conceiving.

Fetus

A developing human from roughly eight weeks after conception until birth.

Benefits

Advantages or gains, often related to employment, insurance, or social welfare programs.