Multiple Choice
If the marginal propensity to consume is 4/5, the value of the multiplier is:
A) 20.
B) 5.
C) 1
D) 1/5
E) 0.8.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q16: Contractionary fiscal policy consists of a(n):<br>A)increase in
Q16: What are the advantages of a flat
Q17: A flat tax plan allows individuals to
Q18: A decrease in government purchases will have
Q19: Most flat tax proposals call for exempting
Q20: A progressive tax is:<br>A)designed to take a
Q22: If the marginal propensity to consume is
Q24: A change in taxes primarily affects aggregate
Q45: Which policy would a supply-sider prefer, an
Q52: Supply-side economists encourage government to reduce taxes,