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What Is Automatic Fiscal Policy? How Does It Affect the Budget

question 83

Essay

What is automatic fiscal policy? How does it affect the budget deficit and/or budget surplus during a recession and during an expansion?


Definitions:

Transverse

Referring to a direction or plane that divides the body into upper and lower parts.

Anterior

Located towards the front of the body or an organ.

Posterior

Referring to the back or rear part of the body or structure.

Superior

Placed above or higher than another; often used to describe anatomical positioning.

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