A Major Advantage of the Built-In or Automatic Stabilizers Is

question 111

Multiple Choice

A major advantage of the built-in or automatic stabilizers is that they:

• A)simultaneously stabilize the economy and reduce the absolute size of the public debt.
• B)automatically produce surpluses during recessions and deficits during inflations.
• C)require no discretionary budgetary policy.
• D)guarantee that the federal budget will be balanced over the course of the business cycle.

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Definitions:

Free-Running Rhythm

Natural cycles that are not influenced by external cues like light, often studied in relation to biological rhythms.

Determined

Having a firm decision and being unwavering in achieving a goal or completing a task.

Temperature

Temperature is a measure of the thermal energy present in an object or environment, indicating how hot or cold it is.

Zeitgeber

An external or environmental cue, such as light or temperature, that helps regulate the biological rhythms of an organism.