Multiple Choice
The following question are based on the following consumption function for a hypothetical economy. Assume autonomous intended investment is $200 billion and there are no government expenditures, exports, or imports.
-If intended investment increases from 200 to 250,GDP will rise by ________ billion.
A) $30
B) $50
C) $83
D) $125
E) $250
Correct Answer:

Verified
Correct Answer:
Verified
Q22: The following question are based on the
Q23: A marginal propensity to save of 0.32
Q24: The following question are based on the
Q25: The average propensity to consume equals the<br>A)
Q26: If interest rates on consumer loans rise,the<br>A)
Q28: The consumption function expresses the relationship between
Q29: The following question are based on the
Q30: The 45-degree line represents points of equality
Q31: The slope of the consumption function is
Q32: An upward shift in the consumption function