A study of estimated multipliers in the major econometric models shows that
A) the government-spending multiplier tends to increase and then later decrease over time.
B) the monetary multiplier is much larger than the government spending multiplier.
C) there is quite a bit of variation in the value of the multipliers among the models.
D) A and C are both correct.
D
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Which of the following will shift the investment demand curve rightward?
a. Higher interest rates b. Gloomy sales expectations c. A cut in corporate taxes that raises after-tax profits d. A decrease in the marginal propensity to consume e. An increase in aggregate income
Looking at the trade-off between output and a cleaner environment, low-income countries usually would choose what?
a. Less output to feed and house their citizens b. A cleaner environment even if it means the majority of their citizens staying poor c. More output to feed and house their citizens d. A cleaner environment for their citizens
Suppose an economy of five people has a national income of $100,000 . and each individual earns $20,000 . The Gini coefficient for this economy is
a. one b. zero c. between 1.0 and 0.5 d. between 0 and 0.5 e. not enough information is given
On balance, does market power promote or retard technological innovation?
What will be an ideal response?