Multiple Choice
In a simple model of the economy,if the MPC is 0.8,the multiplier will equal
A) 0.2.
B) 0.8.
C) 1.25.
D) 5.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q78: The effect of the shadow bank lending
Q79: Which of the following would NOT cause
Q80: In the IS-MP model,when the Fed increases
Q81: All of the following are likely results
Q82: If the Fed is able to permanently
Q84: The marginal propensity to consume can best
Q85: Monetary policy can have substantial effects on
Q86: What is the inflation gap? What is
Q87: The graph of the short-run relationship between
Q88: Most investors believed that Congress would never