If the MPC out of real national income equals 0.75,then
A) for every $100 increase in consumption,real national income increases by $75.
B) consumption is always more than national income.
C) for every $100 increase in real national income,saving increases by $75.
D) for every $100 increase in real national income,saving and taxes paid increase by $25.
Correct Answer:
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Q90: The expression 1/MPS is defined as
A)one minus
Q91: If the MPS increases,the multiplier
A)decreases.
B)increases.
C)stays the same.
D)can
Q92: The larger the MPC,
A)the larger the multiplier.
B)the
Q93: Other things constant,if the MPS is 0.1,and
Q94: If the marginal propensity to consume is
Q96: If equilibrium income is $400 billion,MPC =
Q97: The multiplier is the ratio of the
A)change
Q98: If the multiplier is 10,then the MPC
Q99: If the MPC decreases,then
A)the MPS decreases.
B)the multiplier
Q100: A decrease in autonomous investment of $100
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