Multiple Choice
The simple multiplier
A) when divided by consumption spending equals saving
B) is defined as 1.0 divided by the marginal propensity to save
C) is defined as 1.0 divided by the marginal propensity to consume
D) is equal to the MPS plus the MPC
E) is equal to the MPS minus the MPC
Correct Answer:
Verified
Correct Answer:
Verified
Q4: A decrease in the price level will
Q5: On the aggregate expenditure graph,if autonomous investment
Q6: If autonomous consumption rises by $0.8 trillion
Q7: Which of the following is not a
Q8: Which of the following is not true
Q10: If the mps is 0.25,the simple multiplier
Q11: If output exceeds planned aggregate spending,the result
Q12: What is the effect of an increase
Q13: If the price level decreases,<br>A)the aggregate expenditures
Q14: If the marginal propensity to consume is