How do transfer payments in the form of unemployment compensation work as an automatic fiscal stabilizer during a recession? a. Transfer payments boost the oscillation in the business cycle. b. Transfer payments decrease the government expenditure that helps in controlling the recession. c. Transfer payments increase government spending that, in turn, decreases disposable income. d. Transfer payments lead to a rise in tax revenue that further boosts the money supply in an economy. e. Transfer payments work as income supports and reduce the effects of the recession.

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