By how much would government purchases have to change if the government wanted to increase income by $1,000 and the MPC were 0.9?
A) $100
B) $900
C) $1,000
D) $10,000/9
E) $10,000
Correct Answer:
Verified
Q11: All of the following are tools of
Q12: All of the following are variables that
Q13: An increase in government purchases must always
Q14: Exhibit 11-1 Q17: Which of the following is not a Q18: If the short-run aggregate supply curve has Q19: Fiscal policy is concerned with Q20: Which of the following is not a Q21: Exhibit 11-1 Q105: Discretionary fiscal policy works by shifting the
A)government spending and
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