Which of the Following Serve as Automatic Stabilizers

question 175

Multiple Choice

Which of the following serve as automatic stabilizers?

• A) Transfer payments
• B) Prices
• C) Imports
• D) All of the above serve as automatic stabilizers
• E) None of the above serve as automatic stabilizers

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Definitions:

Field Warehouse Loan

A form of short-term financing where a lender provides a loan with inventory as collateral, which is stored on the borrower's premises but controlled by an independent third party.

Marketable Securities

Financial instruments that can be quickly converted into cash at market value, including stocks and bonds.

Raw Materials

Basic materials that are used in the production process of manufacturing goods, including metals, oil, grains, and other commodities.

Cash Discounts

Incentives offered by sellers to buyers for paying their invoices early, typically a percentage reduction in the invoice amount.