The Primary Benefit of Automatic Stabilizers Is That

question 68

Multiple Choice

The primary benefit of automatic stabilizers is that:

• A)they provide public assistance through legislative decision making.
• B)there is no legislative lag before these tools respond to fluctuations in the business cycle
• C)they take time to come into effect and there is time to identify the spillover effects
• D)they help control hyperinflation in an economy.
• E)they help prevent deflation in an economy.

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Definitions:

Variances

Measures of how much a set of numbers is spread out from their average value, indicating distribution dispersion.

Population Parameters

Statistical measures that summarize characteristics for an entire population, such as mean, variance, or standard deviation.

Confidence Interval

A range of values, derived from sample data, that is likely to contain the value of an unknown population parameter, with a specified level of confidence.

Null Hypothesis

A statistical hypothesis that assumes no significant difference or effect exists between certain characteristics of a population or data set.