Unemployment compensation is: A. an automatic stabilizer because it rises as income increases, slowing an economic expansion. Which of the following is NOT an automatic stabilizer? Automatic stabilizers are economic policies and programs, such as unemployment and welfare, that automatically help stabilize an economy. Confidentiality Guaranteed As unemployment falls during an expansion, unemployment insurance payments decline. Answer A. tax reductions passed by Congress in times of unemployment B. tax reductions passed by Congress in times of inflation C. government defense spending D. unemployment compensation E. welfare programs The unemployment compensation program is always available, so the government doesn’t have to enact such legislation each time a recession occurs. Automatic stabilizers include unemployment insurance, food stamps, and the personal and corporate income tax. Recessions. ". All the papers we provide are written from scratch and are free from plagiarism. Japan The United States Italy Great Britain If we make our income tax system less progressive by reducing the tax rates on upper income earners it would Not affect the effects of the automatic stabilizers Increase the effect of the automatic stabilizers Decrease the effect of the automatic stabilizers Lengthen the time period in which the automatic stabilizers would be effective Which statement is true? The national debt rises substantially during war time Over the next 50 years we will have to pay off most of the national debt None of the statements are false A list of automatic stabilizers in the United States economy would NOT include Income taxes Unemployment compensation Agricultural support payments Defense spending The top marginal rate of the federal personal income tax was lowered under the administration of Gerald Ford Jimmy Carter Ronald Reagan Richard Nixon Bill Clinton Which country listed here had the highest decifit as a percent of GDP in 2008? 1. M1 is money but not M2 M2 is money but not M1 Both M1 and M2 are money Neither M1nor M2 is money The unintended consequences of the federal deregulation of the interest paid depositor in the savings and loans was Increasing the interest rates in the national money market Increasing the amount of the loss on existing loans Allowing management to make riskier loans Affecting the interest rates on existing long term loans The concept of the liquidity trap was formulated by John Maynard Keynes Milton Friedman Stephen Pizzo Aristotle Marshall Mc Luhan In a fractional reserve banking system Commercial banks are required to hold savings account in other banks as reserves against their deposits Commercial banks are required to hold a certain fraction of their deposits in reserves All deposits must be held in reserves Commercial banks hold no deposits in reserve Statement I As the level of income rises people tend to hold more money. Public profiles for Economics researchers, Various rankings of research in Economics & related fields, Curated articles & papers on various economics topics, Upload your paper to be listed on RePEc and IDEAS, RePEc working paper series dedicated to the job market, Pretend you are at the helm of an economics department, Data, research, apps & more from the St. Louis Fed, Initiative for open bibliographies in Economics, Have your institution's/publisher's output listed on RePEc, Unemployment Compensation as an Automatic Stabilizer, Oxford Bulletin of Economics and Statistics, Restrições Macroeconômicas ao Crescimento da Economia Brasileira: Diagnósticos e Algumas Proposições de Política, José Luis Oreiro & Lionello Punzo & Eliane Araújo & Gabriel Squeff, 2009.