"If there's a severe recession, the automatic stabilizers will come into effect, and we will still try to reduce the structural deficit, but we will not try to keep cutting the budget so that we keep worsening a severe recession"

This quote by Franklin Raines is referring to the financial policy of automatic stabilizers. Automatic stabilizers are federal government policies that are designed to help in reducing the intensity of a recession. In the quote, Raines is stating that if there is a severe recession, the government will not try to keep cutting the spending plan in order to worsen the economic downturn. Instead, the automated stabilizers will come into impact and the federal government will try to minimize the structural deficit. This indicates that the government will try to lower the amount of cash it invests in certain programs and services in order to minimize the deficit. By doing this, the federal government wants to minimize the intensity of the economic downturn and help the economy recuperate.