question archive Automatic stabilizers are used to _____
Automatic stabilizers are used to _____
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Automatic stabilizers are used to _____.
a. lower interest rates and inflation to stabilize our economy
b. increase household wealth
c. government subsidies used to stabilize our economy during hard economic times and to provide individuals and households with the basic standards of living
d. lower interest rates to increase consumer purchasing power
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Option C
The correct answer is Option C
Automatic stabilizers are government subsidies used to stabilize our economy during hard economic times and to provide individuals and households with the basic standards of living. It is because automatic stabilizers are type fiscal policies that are implemented with the objective of maintaining stability in the economy.
