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    Economics for Business
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    Exam 29: Business Activity, Employment and Inflation
  5. Question
    If Expectations Were Rational, the Multiplier Would Be
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If Expectations Were Rational, the Multiplier Would Be

Question 146

Question 146

Multiple Choice

If expectations were rational, the multiplier would be


A) infinitely large.
B) negative.
C) larger than its currently estimated value of 1.4.
D) zero.

Correct Answer:

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