Multiple Choice
If the marginal propensity to consume is 0.1, then the tax multiplier is:
A) exactly 0.1.
B) more than 10.
C) less than 10.
D) exactly 10.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q32: Decreasing funding for space exploration will shift
Q56: Time lags associated with policy decision making
Q85: If a government's debt is increasing but
Q86: When the government decides to increase taxes
Q87: The economy is in an inflationary gap.
Q88: Use the following to answer questions:<br>Figure: Fiscal
Q89: If debt increases faster than GDP, the
Q92: All of the following are sources of
Q94: What can the federal government do to
Q95: The cyclically balanced budget is an estimate