Which of the following is true?
A) Automatic stabilisers help to reduce the impact of a recession.
B) Discretionary fiscal policy cannot eliminate a recession.
C) Automatic stabilisers are used to eliminate recessions.
D) Discretionary fiscal policy can automatically eliminate a recession.
E) Automatic stabilisers make discretionary policy more effective by increasing the magnitude of the multipliers.
Correct Answer:
Verified
Q32: An example of automatic fiscal policy is
A)
Q33: When comparing a $100 billion increase in
Q34: If government expenditure on goods and services
Q35: The structural surplus
A) equals the actual surplus
Q36: Automatic stabilisers include
A) changes in the cash
Q38: In an expansion, tax revenues increase proportionally
Q39: The magnitude of the government expenditure multiplier
Q40: The balanced budget multiplier is based on
Q41: The figure above shows a nation's aggregate
Q42: 
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