Author Question: Automatic stabilizers stabilize the level of real GDP because: a. Congress quickly changes spending ... (Read 74 times)

javeds

  • Hero Member
  • *****
  • Posts: 570
Automatic stabilizers stabilize the level of real GDP because:
 a. Congress quickly changes spending and tax revenue.
  b. federal expenditures and tax revenues change as the level of real GDP changes.
  c. the spending and tax multiplier are constant.
  d. wages are controlled by the minimum wage law.

Question 2

The Monetarists advocate the monetary rule in order to stabilize the business cycle which states that the money supply should be increased by a constant rate year after year.
 a. True
  b. False
  Indicate whether the statement is true or false



millet

  • Sr. Member
  • ****
  • Posts: 354
Answer to Question 1

b

Answer to Question 2

True



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Atropine, along with scopolamine and hyoscyamine, is found in the Datura stramonium plant, which gives hallucinogenic effects and is also known as locoweed.

Did you know?

Once thought to have neurofibromatosis, Joseph Merrick (also known as "the elephant man") is now, in retrospect, thought by clinical experts to have had Proteus syndrome. This endocrine disease causes continued and abnormal growth of the bones, muscles, skin, and so on and can become completely debilitating with severe deformities occurring anywhere on the body.

Did you know?

In 1885, the Lloyd Manufacturing Company of Albany, New York, promoted and sold "Cocaine Toothache Drops" at 15 cents per bottle! In 1914, the Harrison Narcotic Act brought the sale and distribution of this drug under federal control.

Did you know?

In 1864, the first barbiturate (barbituric acid) was synthesized.

Did you know?

In the United States, an estimated 50 million unnecessary antibiotics are prescribed for viral respiratory infections.

For a complete list of videos, visit our video library