6. Automatic stabilizers Which of the following are examples of automatic stabilizers? Check all that apply. As unemployment falls during an expansion, unemployment insurance payments decline. As people earn higher incomes during an expansion, the progressive tax system requires them to pay higher average tax rates. In 2001, partly in response to a recession, Congress enacted lower income tax rates and increased tax exemptions for married couples. In 1968, Congress enacted a temporary 10% increase in personal income tax rates in response to an inflationary GDP gap.

“ 6. Automatic stabilizers Which of the following are examples of automatic stabilizers? Check all that apply. As unemployment falls during an expansion, unemployment insurance payments decline. As people earn higher incomes during an expansion, the progressive tax system requires them to pay higher average tax rates. In 2001, partly in response to a recession, Congress enacted lower income tax rates and increased tax exemptions for married couples. In 1968, Congress enacted a temporary 10% increase in personal income tax rates in response to an inflationary GDP gap. ”