Solved

Figure 23-3 -Refer to Figure 23-3.Suppose That Investment Spending Increases by $10

Question 183

Multiple Choice

Figure 23-3 Figure 23-3 -Refer to Figure 23-3.Suppose that investment spending increases by $10 million,shifting up the aggregate expenditure line and GDP increases from GDP1 to GDP2.If the MPC is 0.9,then what is the change in GDP? A) $9 million B) $10 million C) $90 million D) $100 million
-Refer to Figure 23-3.Suppose that investment spending increases by $10 million,shifting up the aggregate expenditure line and GDP increases from GDP1 to GDP2.If the MPC is 0.9,then what is the change in GDP?


A) $9 million
B) $10 million
C) $90 million
D) $100 million

Correct Answer:

verifed

Verified

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

Related Questions

Q27: An increase in the price level _

Q102: _ is defined as national income +

Q147: You review a salesman's income over a

Q158: When we graph consumption as a function

Q182: Table 23-4<br> <span class="ql-formula" data-value="\begin{array}

Q188: Suppose the United States experiences a long

Q221: Inventories refer to<br>A)goods which have been presold

Q229: U.S.net export spending falls when<br>A)the price level

Q238: If planned aggregate expenditure is less than

Q242: Figure 23-2 <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7397/.jpg" alt="Figure 23-2