Solved

Given the Following Data in £ Billions, If Injections Are

Question 4

Multiple Choice

Given the following data in £ billions, if injections are constant at £12 billion and full employment occurs at a national income of £100 billion, what is the size of the recessionary (or 'deflationary') gap? Given the following data in £ billions, if injections are constant at £12 billion and full employment occurs at a national income of £100 billion, what is the size of the recessionary (or 'deflationary') gap? A) £5 billion B) £40 billion C) £80 billion D) £4 billion E) £20 billion


A) £5 billion
B) £40 billion
C) £80 billion
D) £4 billion
E) £20 billion

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q1: Withdrawals are endogenous.

Q2: According to the accelerationist theory, unemployment can

Q3: Business cycles are highly irregular in practice

Q5: When government spending or investment increases in

Q6: Monetarists argue that M and V vary

Q7: According to New Classical economists, what happens

Q8: Hysteresis is a term applied to processes

Q9: The marginal propensity to consume is the

Q10: The Monetarist analysis is based on the

Q11: Why is the adaptive expectations theory of