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 legislative action by Congress to be made effective.
D)guarantee that the federal budget will be balanced over the course of the business cycle.

Question

Quizplus · Accepted Answer

Automatic stabilizers work without the need for new legislation, as they are built into the tax and spending systems to automatically adjust with economic changes.

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