Ask Question
Social StudiesSocial Studies
12 March, 05:54

The federal budget deficit acts as an automatic stabilizer because

+5
Answers (1)
  1. 12 March, 07:38
    0
    tax revenues decrease during a recession

    Explanation:

    Automatic stabilizer refers to policies to control the fluctuation in the economy

    During a recession, the income that average people have would automatically decrease. Since the amount of federal budget is reliant on the amount of income taxes

    To stabilize this, the government reduce the amount of federal budget and let the people keep a larger portion of their money so they can invest it in their own business.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “The federal budget deficit acts as an automatic stabilizer because ...” in 📙 Social Studies if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Societal expectations affect the way people interpret intelligence. For example, in Western cultures, fluid intelligence is particularly valued. Which of the following most accurately characterizes fluid intelligence? A.
Answers (1)
The starting position of this object is 3 m. The object is traveling at a velocity of
Answers (1)
Which branch of psychology explores the relationship between psychological factors and physical ailments or disease?
Answers (1)
As the clock chimes midnight to ring in the New Year, a Spanish tradition involves eating twelve of what - one for each chime?
Answers (1)
Which country is located 30 S and 120 E
Answers (1)
New Questions in Social Studies
Where did the idea of manifest destiny come from and why?
Answers (1)
What is a large molecule made up of smaller molecules called amino acids
Answers (2)
The Maya and Aztec cultures both developed two calendars, a system of writing, and built large cities around plazas and temples to worship their gods. a. True b. False
Answers (1)
The Civil Rights Act of 1964 ... A. made discrimination by state governments illegal, but permitted discrimination by private employers. B. ended some of the most blatant forms of discrimination across the country C.
Answers (2)
Based on dramaturgy, what is the definition of social setting? a. the players involved in the production b. the sign-vehicle where action unfolds c. the audience viewing what transpires d. the scenery that is a part of the social environment
Answers (1)
Home » Social Studies » The federal budget deficit acts as an automatic stabilizer because
Sign Up Forgot Password?