The multiplier is the ratio of the
A) change in the equilibrium level of real GDP to the change in autonomous expenditures.
B) equilibrium level of real GDP to the change in induced expenditures.
C) change in induced expenditures to the change in autonomous expenditures.
D) change in autonomous expenditures to the change in the equilibrium level of real GDP.
Correct Answer:
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Q406: Suppose the marginal propensity to consume (MPC)
Q407: The multiplier is
A) the part of consumption
Q408: The multiplier equals
A) consumption/real disposable income.
B) change
Q409: A permanent reduction in planned real investment
Q410: An increase in real net exports leads
Q412: The smaller the marginal propensity to consume
A)
Q413: Suppose the marginal propensity to consume (MPC)
Q414: If the marginal propensity to consume (MPC)
Q415: The ratio of the change in the
Q416: If the multiplier has a value of
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