Which of the following is true?
A) Discretionary fiscal policy can automatically eliminate a recession.
B) Automatic stabilizers are used to eliminate recessions.
C) Discretionary fiscal policy cannot eliminate a recession.
D) Automatic stabilizers help to reduce the impact of a recession.
E) Automatic stabilizers make discretionary policy more effective by increasing the magnitude of the multipliers.
Correct Answer:
Verified
Q99: Fiscal policies that move the economy toward
Q100: When the economy is in a recession,--------------------
Q101: Q102: When government outlays are less than tax Q103: The balanced budget multiplier is Q105: The government collects tax revenues of $100 Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents![]()
A)greater than zero