Multiple Choice
Assume that initially G is $100 and equilibrium real GDP demanded is $1,000.If the multiplier is 4 and G increases to $200,real GDP demanded will increase
A) by $100
B) by $2,000
C) by $1,000
D) to $1,400
E) to $2,000
Correct Answer:
Verified
Correct Answer:
Verified
Q27: Assume autonomous net taxes fall by $300;
Q28: Which of the following will not increase
Q29: If the multiplier for autonomous government purchases
Q30: An increase in net taxes<br>A)raises aggregate expenditure
Q31: Exhibit 11-5 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4914/.jpg" alt="Exhibit 11-5
Q33: Assume autonomous net taxes fall by $300;
Q34: Assume autonomous net taxes rise by $500;
Q35: A $200 increase in government purchases has
Q36: Exhibit 11-5 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB4914/.jpg" alt="Exhibit 11-5
Q37: Assume autonomous net taxes fall by $300;