In an economy with no income taxes or imports, the multiplier equals
A) 1/(1 - MPS) .
B) 1/MPC.
C) 1/MPS.
D) 1/(MPC + MPS) .
Correct Answer:
Verified
Q264: If investment increases by $300 and, in
Q265: Which of the following makes the multiplier
Q266: If the multiplier for a change in
Q267: The expenditure multiplier equals
A) MPC - MPS
Q268: If the marginal propensity to consume is
Q270: If the MPC equals .75 and there
Q271: The relationship between the multiplier and the
Q272: If there are no taxes or imports
Q273: An increase in the value of the
Q274: If the MPC is .9 and there
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents