Indicate whether each of the following would be considered an automatic stabilizer (last part of lecture and pg. 544):
- 1. The president encourages Congress to decrease taxes prior to an election.
- 2. A higher level of jobless claims results in an increase in total disbursements of unemployment compensation.
- 3. An expansion in the economy increases the average person's income level, forcing some people into higher tax brackets.
- 4. The US congress increases highway spending programs in order to benefit local businesses