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Lana71 [14]
3 years ago
15

Which of the following are examples of automatic stabilizers? Check all that apply. As corporate profits rise during an economic

expansion, corporate income tax revenues rise. As people earn higher incomes during an expansion, the progressive tax system requires them to pay higher average tax rates. As unemployment falls during an expansion, unemployment insurance payments decline. In 2001, partly in response to a recession, Congress enacted lower income tax rates and increased tax exemptions for married couples.
Business
1 answer:
hoa [83]3 years ago
6 0

Answer:

As people earn higher incomes during an expansion, the progressive tax system requires them to pay higher average tax rates

Explanation:

Automatic stabilizers are stabilizers that adjust the economy automatically without the intervention of external agents . examples include progressive tax and transfer payments

In an expansion, progressive tax increases the tax paid and this reduces disposable income

In a contraction, tax paid is reduced and this increases disposable income

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Answer:

It illustrates that the classical model of the price level best applies to economies with persistently high inflation.

Explanation:

When a very low inflation rate has been constant in an economy, and the money supply increases suddenly, in the short run that change will not immediately increase the inflation rate, but instead it will increase real output.

Classical economists argue that an increase in the money supply will immediately affect the inflation rate, but that theory applies mostly to economies that have a certain level of inflation. For example, for the past 12 years, European nations have been experiencing very low inflation rates, sometimes even negative rates. But during that same period, the European Central Bank has carried on a huge expansionary policy. It favored economic growth, although not as much as expected, but it didn't skyrocket inflation rate as the classical economy model predicted.

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When workers negotiate as a group with employers, they are engaging in ____.
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Collective Bargaining

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What should you include on a resume?
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Why would a producer decide to produce in a competitive market in which she will earn zero profit in the long run? Choose one: A
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Answer:

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Explanation:

Perfectly Competitive Market

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Perfectly Competitive Industry

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