The Increase in the Amount That the Government Collects in Taxes

question 156

Multiple Choice

The increase in the amount that the government collects in taxes when the economy expands and the decrease in the amount that the government collects in taxes when the economy goes into a recession is an example of

• A)automatic stabilizers.
• B)discretionary fiscal policy.
• C)discretionary monetary policy.
• D)automatic monetary policy.

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Definitions:

Significance Level

The threshold below which a null hypothesis is rejected in a statistical test, often denoted by alpha (α) and commonly set at 0.05 or 5%.

Friedman Test

A nonparametric test for detecting differences in treatments across multiple test attempts.

Friedman Test

A method involving non-parametric statistics aimed at uncovering treatment discrepancies across various attempts.

Sign Test

A nonparametric test used to determine whether the median of a population differs from a specified value by examining the signs of differences rather than their magnitude.