menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Principles of Macroeconomics Study Set 3
  4. Exam
    Exam 15: The Influence of Monetary and Fiscal Policy on Aggregate Demand
  5. Question
    If the MPC = 5/6, What Is the Government Purchases
Solved

If the MPC = 5/6, What Is the Government Purchases

Question 97

Question 97

Multiple Choice

If the MPC = 5/6, what is the government purchases multiplier?


A) 1/6
B) 5/6
C) 6/5
D) 6

Correct Answer:

verifed

Verified

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

Related Questions

Q4: Unemployment insurance and welfare programs work as

Q68: Which of the following shifts money demand

Q76: According to liquidity-preference theory, why is the

Q92: Suppose the closed economy is in long-run

Q94: If households view a tax cut as

Q96: What does fiscal policy primarily affect in

Q99: Which of Keynes's theories does liquidity preference

Q101: Which of the following is characteristic of

Q102: According to liquidity preference theory, when would

Q115: For the most part, fiscal policy affects

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines