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What is Automatic Stabilisers

Those elements of the tax and spending regime that automatically tend to stabilise the economy. For example, during an upturn, unemployme hotnewsnt benefit payments will tend to fall and tax receipts to rise, dampening the economic cycle.

Crown Copyright. Material taken from HM-Treasury. Reproduced under the terms and conditions of the Click-Use Licence.

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Term created / updated 2007-03-20 22:37:34

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