Economy begins to recover from a recession and more people

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Reference no: EM1325852

Fiscal Policy explained in this answer

Determine whether each of the following is an example of the automatic fiscal stabilizer.

A)As the economy starts to recover from a recession & more people go back to work, government-funded unemployment compensation payments begin to decline.

B) To stem an overheated economy the president, using special powers granted by congress, authorizes emergency impoundments of funds that Congress had previously authorized for spending on government programs.

Reference no: EM1325852

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