Multiple Choice
The multiplier effect:
A) reduces the MPC.
B) magnifies small changes in spending into larger changes in output and income.
C) promotes stability of the general price level.
D) lessens upswings and downswings in business activity.
Correct Answer:

Verified
Correct Answer:
Verified
Q1: If the net expected revenue from an
Q2: Assume that for the entire business sector
Q3: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6686/.jpg" alt=" Refer to the
Q4: Which of the following equations represents the
Q5: Following is consumption schedules for three private
Q7: Technological progress will:<br>A)shift the investment schedule downward
Q8: Following is consumption schedules for three private
Q9: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6686/.jpg" alt=" Refer to the
Q10: Which of the following is likely to
Q11: The saving schedule shown in the diagram