Time Left:2:27:31 Richu Parathuvayalil Saji: Attempt 1 Question 2 (2 points) Which of the following is a statement that is NOT TRUE? Explain why. 1. The Canadian economy is in a recession and the recessionary gap is large. An automatic fiscal policy that might occur automatically in the economy is an increase in induced transfer payments and a fall in induced taxes. 2. Discretionary fiscal policy is risky because it is hampered by a recognition lag, impact lag. and law-making lag. 3. The Canadian economy is in a recession and the recessionary gap is large. Discretionary fiscal policy that might occur is an increase in taxes or a decrease in government expenditure as legislated by the Canadian Parliament. Paragraph v BIUA E O