The Federal Budget Deficit Acts as an Automatic Stabilizer Because

question 265

Multiple Choice

The federal budget deficit acts as an automatic stabilizer because

• A)government tax revenues decrease during a recession.
• B)unemployment insurance payments decrease during a recession.
• C)food stamp payments increase during expansionary periods.
• D)Medicaid payments increase during expansionary periods.

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Definitions:

Negative Symptom

In psychiatry, symptoms indicating an absence or lack of functions or behaviors normally present, often associated with conditions like schizophrenia.

Word Salad

A jumbled or incoherent mix of words and phrases, typically seen in severe cases of mental illness like schizophrenia.

Psychosis

A mental health condition that affects the way your brain processes information, leading to a loss of contact with reality.

Anxiously

Feeling or showing worry, nervousness, or unease about something with an uncertain outcome.