Unemployment insurance and the proportional nature of the tax system are examples of:
A) discretionary fiscal policy.
B) automatic fiscal policy.
C) both discretionary and automatic fiscal policy.
D) expansionary fiscal policy.

Question

Quizplus · Accepted Answer

Unemployment insurance and the proportional nature of the tax system are examples of automatic fiscal policy, as they are designed to automatically adjust in response to changes in the economy without the need for government intervention or discretion.

Unemployment Insurance and the Proportional Nature of the Tax System