The Works Progress Administration, a government program that put millions of unemployed Americans to work building bridges, roads, and parks in the 1930s, was an automatic stabilizer.

Question

Quizplus · Accepted Answer

Automatic stabilizers are economic policies and programs designed to offset fluctuations in a nation's economic activity without intervention by the government or policymakers, such as unemployment insurance. The Works Progress Administration was a discretionary fiscal policy, not an automatic stabilizer.

The Works Progress Administration, a Government Program That Put Millions