Personal and corporate income taxes serve as automatic stabilizers by causing
A) tax revenues to fall as GDP rises.
B) the government budget to run a surplus during recessions.
C) continuous prosperity.
D) government tax revenues to rise and fall as GDP rises and falls.
E) discretionary fiscal programs to become meaningless.
Correct Answer:
Verified
Q46: Over the last 50 years,federal,state,and local governments
Q47: Automatic stabilizers
A) make sure that the government
Q48: The government can use fiscal policy to
Q49: Excluded from the list of those having
Q50: The Council of Economic Advisers
A) was established
Q52: A basic objection to increased public works
Q53: The Employment Act of 1946
A) reduced tax
Q54: Discretionary fiscal policy is
A) the responsibility of
Q55: From an economic perspective the optimal level
Q56: The structural features of our economy that
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