During recessions,government expenditure automatically
A)falls because of programs such as unemployment insurance and Medicaid.
B)rises because of programs such as unemployment insurance and Medicaid.
C)falls because of the progressive income tax system.
D)rises because of the progressive income tax system.

Question

Quizplus · Accepted Answer

During recessions, there is typically an increase in the demand for certain government programs such as unemployment insurance and Medicaid. As a result, government expenditure tends to rise in order to meet this increased demand.

During Recessions,government Expenditure Automatically