The automatic mechanism can best be described as Group of answer choices the process of the economy adjusting back to potential GDP without any action taken by the government. the result of monetary policy implemented by the Fed restoring full employment. how fiscal policy is used to return the economy to its potential. using rule-based policies to stabilize the economy.

Capital financial corporation will lend 90 percent against account balances that have averaged 30 days or less; 80 percent for account balances between 31 and 40 days; and 70 percent for account balances between 41 and 45 days. customers that take over 45 days to pay their bills are not considered acceptable accounts for a loan. the current prime rate is 16.50 percent, and capital charges 3.50 percent over prime to charming as its annual loan rate. a. determine the maximum loan for which charming paper company could qualify.