menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Principles of Macroeconomics Study Set 12
  4. Exam
    Exam 9: The Government and Fiscal Policy
  5. Question
    Assume That Taxes Depend on Income
Solved

Assume That Taxes Depend on Income

Question 184

Question 184

Multiple Choice

Assume that taxes depend on income. The MPC is 0.8 and t is 0.25. The government spending multiplier is


A) 1.67.
B) 2.5.
C) 5.
D) 10.

Correct Answer:

verifed

Verified

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

Related Questions

Q179: The balanced-budget multiplier works whenever the government

Q180: Federal government receipts minus expenditures is the

Q181: Discretionary fiscal policy refers to changes in

Q182: In a recession the U.S. federal government

Q183: Refer to the information provided in Table

Q185: Government spending increases by $40 billion and

Q186: Refer to the information provided in Table

Q187: Refer to the information provided in Table

Q188: Fiscal policy refers to<br>A) the techniques used

Q189: If taxes are a function of income,

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines