Multiple Choice
Scenario 34-2.The following facts apply to a small,imaginary economy.
• Consumption spending is $6,720 when income is $8,000.
• Consumption spending is $7,040 when income is $8,500.
-Refer to Scenario 34-2.The multiplier for this economy is
A) 1.31.
B) 6.25.
C) 2.78.
D) 2.27.
Correct Answer:
Verified
Correct Answer:
Verified
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