The multiplier principle illustrates that
a. an increase in investment spending will be multiplied into a larger increase in GDP.
b. an increase in GDP will be multiplied into a larger amount of investment spending.
c. an increase in GDP will be multiplied into a larger increase in consumer spending.
d. investment spending is always a multiple of consumer spending.
a
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The most common form of business organization in the United States is the sole proprietorship
a. True b. False
Which of the following is not considered a barrier to entry?
a. patents b. government licenses c. economies of scale d. diseconomies of scale e. control over essential resources
Which of the following statements about the FDIC is untrue? a. The FDIC helps prevent bank failures. b. The FDIC was created after the surge in bank failures in the 1980s. c. The FDIC is a government agency. d. The FDIC will reimburse depositors for their losses up to $100,000 per demand deposit account
e. The FDIC conducts bank audits and examinations.
The GDP is the:
What will be an ideal response?