Multiple Choice
If the government wishes to increase GDP by $1,000 billion, and the MPC is 0.6, it should increase its spending by _______ billion.
A) $250
B) $400
C) $600
D) $1,000
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q15: Economic environments that have lower levels of
Q16: Economic environments that have higher levels of
Q17: A _ relationship exists between the real
Q18: What is the equation for aggregate expenditure?<br>A)
Q19: If consumers increase their preference for foreign
Q21: If PAE is greater than Y, we
Q22: If the government wishes to increase GDP
Q23: If the MPC is 0.8, and the
Q24: Foreign income is earned:<br>A) by a nation's
Q25: The figure shows planned aggregate expenditure and