Which of the following is a true statement about the multiplier?
a. The multiplier rises as the MPC rises.
b. The smaller the MPC, the larger the multiplier.
c. The multiplier is a value between zero and one.
d. The multiplier effect does not occur when autonomous expenditure decreases.
a. The multiplier rises as the MPC rises.
You might also like to view...
If it is said that a currency is undervalued against the dollar, it is meant that:
A) the dollar is worth more of that currency than it would have been under a fixed exchange rate regime. B) the dollar is worth more of that currency than it would have been under a flexible exchange rate regime. C) the dollar is worth less of that currency than it would have been under a fixed exchange rate regime. D) the dollar is worth more of that currency than it would have been under a managed exchange rate regime.
Even though the market for bricks has a low concentration ratio nationally, the U.S. Justice Department might still scrutinize any mergers in this industry because the
A) HHI is high nationally. B) HHI is above 1800 nationally. C) HHI is below 1800 nationally. D) market is regional not national, and the regional concentration might be high.
From the late 1960s to the late 1980s, in the United States SAT scores
a. and graduation rates increased. b. and graduation rates decreased. c. and school attendance rates decreased. d. decreased and school attendance rates increased.
Using the above table, what is the total utility of the third piece of pizza?
A. 25 utils B. -25 utils C. 0 utils D. 75 utils