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Automatic Stabilizers: Definition and Role in Fiscal Policy

Question 1 of 15

What are automatic stabilizers in fiscal policy?

  1. Government spending programs that automatically increase or decrease in response to changes in the economy.
  2. Tax policies that automatically adjust to changes in the economy.
  3. Government regulations that automatically adjust to changes in the economy.
  4. All of the above.

Prize Money

15₹7 Crores
14₹1 Crore
13₹50,00,000
12₹25,00,000
11₹12,50,000
10₹6,40,000
9₹3,20,000
8₹1,60,000
7₹80,000
6₹40,000
5₹20,000
4₹10,000
3₹5,000
2₹2,000
1₹1,000