During Expansions, What Do Automatic Stabilizers Make Government Expenditures and Taxes

question 120

Multiple Choice

During expansions, what do automatic stabilizers make government expenditures and taxes do?

• A) They make government expenditures and taxes fall.
• B) They make government expenditures and taxes rise.
• C) They make government expenditures rise and taxes fall.
• D) They make government expenditures fall and taxes rise.

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Definitions:

Analyze

The process of examining something methodically to understand its components, meaning, or relationships.

Bloom's Taxonomy

A classification system used in education to define and distinguish different levels of human cognition - i.e., thinking, learning, and understanding.

Evaluate

The process of assessing or judging the value, nature, or importance of something.

Bloom's Taxonomy

A classification system used to define and distinguish different levels of human cognition—i.e., thinking, learning, and understanding.