What Is the Primary Benefit of the Automatic Stabilizers

question 136

Multiple Choice

What is the primary benefit of the automatic stabilizers?

• A)They require legislative action, so there is a lag in the tool's response to fluctuations in the business cycle, and there is time to identify the spillover effects.
• B)They act to keep the economy at the full employment output level.
• C)They provide public assistance through legislative decision making.
• D)They require no new legislative action, so there is no legislative lag before these tools respond to fluctuations in the business cycle.

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Definitions:

Virtue Prescription

Virtue prescription refers to the advocacy or recommendation of moral virtues as guidelines for ethical behavior and good living.

Generous

Showing a readiness to give more of something, especially money or time, than is strictly necessary or expected.

Charitable

Related to the act of giving help, especially financial support, to those in need.

Virtues List

A compilation of moral and ethical qualities considered as positive traits and admired in a person.