An example of automatic fiscal policy is

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In finance, automatic fiscal policy is when changes in the government’s budget deficit or debt are automatically adjusted to stabilize inflation and employment. This works by changing the level of consumption and investment so that they are consistent with full-employment levels. Some economists argue that this type of fiscal policy will work better than discretionary fiscal policy because it does not rely on political decisions made by people who have a vested interest in one outcome over another.

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Some economists argue that this type of fiscal policy will work better than discretionary fiscal policy because it does not rely on political decisions made by people who have a vested interest in one outcome over another.

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