The government spending multiplier is calculated as:
A) 1/(1 - MPC) .
B) -1/(1 - MPC) .
C) -MPC/(1 - MPC) .
D) (1 - MPC) * - MPC.
Correct Answer:
Verified
Q24: If the marginal propensity to consume was
Q94: If the MPC were to increase from
Q95: If the government increased its spending by
Q96: If the MPC is 0.6,and the government
Q97: If the MPC is 0.5,then the government
Q101: The taxation multiplier:
A)is calculated as -MPC/(1 -
Q102: If the marginal propensity to consume is
Q104: If the MPC were to increase from
Q124: If the MPC is 0.8, and the
Q130: If the government wishes to increase GDP
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