Multiple Choice
The value of the multiplier will be larger,the
A) Smaller the value of the marginal propensity to save.
B) Smaller the APC.
C) Larger the value of the mps.
D) Smaller the APS.
Correct Answer:
Verified
Correct Answer:
Verified
Q5: A decrease in a recessionary GDP gap
Q6: Which of the following equations defines the
Q7: Leakages include<br>A)Business saving.<br>B)Exports.<br>C)Government spending.<br>D)Inventories.
Q8: If the marginal propensity to consume is
Q9: Purchases of new plants and equipment plus
Q11: Suppose lower expectations lead to a
Q12: Classical economists concluded that<br>A)Spending leakages exceed spending
Q13: A recessionary GDP gap is the<br>A)Horizontal distance
Q14: Keynes believed that abrupt changes in spending
Q15: Investment represents<br>A)A leakage from the circular flow,similar