-Refer to the above figure. As the real national income expands from Y2 to Y3,
A) a budget surplus occurs.
B) a budget deficit occurs.
C) tax revenues fall.
D) government transfers rise.
Correct Answer:
Verified
Q201: Automatic stabilizers are
A) provisions that cause changes
Q203: An example of an automatic stabilizer is
A)unemployment
Q207: An advantage of automatic stabilizers over discretionary
Q211: The existence of automatic stabilizers will
A) reduce
Q217: Fiscal policy time lags tend to be
A)
Q219: Provisions that cause changes in government spending
Q222: If the government increases aggregate demand when
Q225: Which one of the following is NOT
Q228: Government-provided unemployment insurance is an example of
A)
Q240: All of the following are automatic stabilizers
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