An economy currently has a deflationary gap of £20 billion and an equilibrium level of national income of £60 billion below the full- employment level of national income. This means that it must have an MPCD of
A) 1/6
B) 2/3
C) 1/3
D) 3
E) 3/2
Correct Answer:
Verified
Q51: The Monetarist analysis is based on the
Q52: Many economists claim that the velocity of
Q53: Which of the following would increase a
Q54: If potential national income is £100 billion,
Q55: Given the following data in £ billions,
Q57: When the economy is at the full-
Q58: Which of the following defines an inflationary
Q59: Which of the following would not increase
Q60: The original Phillips curve showed
A)
Q61: Which of the following would not shift
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