Explain how the amount of government spending and government spending as a proportion of GDP behave over the business cycle.
-What are some automatic types of government spending? Does automatic government spending tend to go up or down in a recession?

Question

Quizplus · Accepted Answer

The Answer is Federal spending rises slowly over the whole expansion and continues to climb in economic contractions The rise during a contraction is largely due to automatic government spending

Explain How the Amount of Government Spending and Government Spending