Multiple Choice
If in an economy,the marginal tax rate = 0.1,the marginal propensity to save = 0.25,and the marginal propensity to import = 0.05,what is the value of the multiplier?
A) 1.43
B) 1.54
C) 1.67
D) 2.0
E) 2.5
Correct Answer:
Verified
Related Questions
Q138: If XN is an autonomous $90 and
Q139: What does the real-balances effect refer to?
A)The
Q140: What is the effect of a decrease
Q141: Autonomous spending depends on the level of
Q142: What variable is changed to derive an
Q144: If in an economy,the marginal tax rate
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