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    The Economy Today Study Set 1
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    Exam 11: Fiscal Policy
  5. Question
    The General Formula for Calculating the Desired Fiscal Stimulus Is
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The General Formula for Calculating the Desired Fiscal Stimulus Is

Question 19

Question 19

Multiple Choice

The general formula for calculating the desired fiscal stimulus is


A) AD shortfall × the multiplier.
B) 1/(AD shortfall × the multiplier) .
C) AD shortfall ÷ the multiplier.
D) 1/(AD shortfall ÷ the multiplier) .

Correct Answer:

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