The total government expenditure multiplier
A) is the ratio of total increase in real output to the increase in government spending.
B) is the total increase in the demand for goods.
C) equals
D) is the ratio of total increase in demand for goods to the increase in government spending.
E) equals the MPC.

Question

The total government expenditure multiplier
A) is the ratio of total increase in real output to the increase in government spending. 
B) is the total increase in the demand for goods. 
C) equals 
D) is the ratio of total increase in demand for goods to the increase in government spending. 
E) equals the MPC.

Quizplus · Accepted Answer

The Answer of The total government expenditure multiplier
A) is the ratio of total increase in real output to the increase in government spending. 
B) is the total increase in the demand for goods. 
C) equals 
D) is the ratio of total increase in demand for goods to the increase in government spending. 
E) equals the MPC.

The Total Government Expenditure Multiplier