The Primary Benefit of the Automatic Stabilizers Is

question 70

Multiple Choice

The primary benefit of the automatic stabilizers is:

• A)​they provide public assistance through legislative decision making.
• B)​they require no new legislative action, so there is no legislative lag before these tools respond to fluctuations in the business cycle.
• C)​they require legislative action, so there is a lag in response to these tools to fluctuations in the business cycle, and there is time to identify the spillover effects.
• D)​none of the above.

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Definitions:

Fees Earned

Revenues generated from providing services to clients or customers.

Income Statement

The income statement is a financial report that gives a summary of a company's revenue, expenses, and profits over a specific period, showing how revenue is transformed into net income.

Business Users

Individuals or groups within an organization who utilize and apply business data and information in their decision-making processes.

Statement Of Owner's Equity

A financial document that shows changes in the owner's equity account over a period, including contributions, withdrawals, and the business's net income or loss.