Which of the Following Best Characterizes the Role of Automatic

question 155

Multiple Choice

Which of the following best characterizes the role of automatic stabilizers?  

• A) They require ongoing decisions about government purchases and taxation in order to promote full employment and price stability. 
• B) They include the unemployment insurance program, which helps reduce the negative effects of unemployment. 
• C) They tend to stimulate aggregate demand when the economy is experiencing an expansionary gap. 
• D) They include tax cuts passed by Parliament in order to ease a current recession in an economy that has a proportional income tax.

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Definitions:

Planning

The process of defining objectives, developing strategies, and outlining tasks and schedules to achieve the goals of an individual or organization.

Logically and Methodically

A systematic and reasoned approach to problem-solving or task execution, emphasizing order and rational processes.

Sales Presentation

A pitch or demonstration given by a salesperson to show the benefits and features of a product to a potential buyer.

Confidence

The belief in one's abilities and qualities, often enhancing one's performance in tasks such as sales, presentations, and negotiations.