The Federal Budget Deficit Acts as an Automatic Stabilizer Because

question 290

Multiple Choice

The federal budget deficit acts as an automatic stabilizer because

• A)government tax revenues decrease during a recession.
• B)employment insurance payments decrease during a recession.
• C)employment insurance payments increase during expansionary periods.
• D)health care spending increases during expansionary periods.
• E)governments are required to balance their budgets during expansions.

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Definitions:

Biopsychologist

A scientist who studies the interplay between biological processes and psychological phenomena.

Metaphorical Relationships

The connections or associations between two disparate entities where one serves as a symbol or representation of the other.

Spatial Relationships

This involves understanding how objects or shapes are positioned in space in relation to each other.

Independent Variable

In research, the variable that is manipulated or changed by the researcher to observe its effects on the dependent variable.