on-a-graph-showing-gdp-and-taxes-how-would-automatic-stabilizers-appear-during-a

Question

On a graph showing GDP and taxes, how would automatic stabilizers appear during an economic boom?

Accepted Answer

Taxes would increase as GDP increases, showing an upward slope.

Answer

Taxes would decrease as GDP increases, showing a downward slope.

Answer

Taxes would remain constant regardless of GDP changes.

Answer

Taxes would decrease as GDP decreases, showing an upward slope.