A Major Benefit of Automatic Stabilizers Is That They

question 126

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 the 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:

Puffery

Exaggerated or boastful statements made by a seller about a product or service, considered legal and not to be taken as factual claims by consumers.

Fact

A statement that can be proven to be true or false, typically based on real occurrences or empirical evidence.

Fraudulent Misrepresentation

A false statement made knowingly or recklessly with the intent to deceive, leading to damages to another party.

Building Leaks

Water intrusion problems within a structure's envelope, causing damage and potential health issues due to moisture.