Automatic stabilizers refer to
A) changes in the money supply and interest rates that are intended to achieve macroeconomic policy objectives.
B) the money supply and interest rates that automatically increase or decrease along with the business cycle.
C) changes in federal taxes and purchases that are intended to achieve macroeconomic policy objectives.
D) government spending and taxes that automatically increase or decrease along with the business cycle.
D
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The balance of trade is the value of:
A. exports minus the value of imports. B. imports minus the value of exports. C. total goods purchased by the U.S. from abroad. D. total goods sold by the U.S. to parties abroad.
Planned aggregate expenditure is total:
A. income of households, businesses, governments, and foreigners. B. planned spending on final goods and services. C. value added in the economy. D. revenue from the sale of goods and services.