If an increase in government spending of $20 million results in a $100 million increase in GDP, then the spending multiplier is
A) 0.2.
B) 2.5.
C) 5.
D) 20.
C
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Refer to Game Matrix I. If this game is played sequentially with Player A choosing first, the Stackelberg equilibrium is
a. the upper left-hand corner.
b. the upper right-hand corner.
c. the lower left-hand corner.
d. the lower right-hand corner.
Paul Volcker was appointed to head the Federal Reserve System by ________
A) Richard Nixon in 1969 B) Jimmy Carter in 1979 C) Ronald Reagan in 1992 D) Barack Obama in 2009
To better align your agent's incentives to your own when buying securities
a. Offer the agent a high price b. Offer the agent a low price c. Offer the agent a price based on performance of the security d. All of the above
The "deadweight loss" from a monopoly refers to
a. the portion of a monopolist's profits that are above the competitive profit level. b. the increase in price due to the monopolization of a market. c. the inefficient use of factors of production by a monopoly. d. the loss of consumer surplus due to the monopolization of a market that is not transferred to another economic actor.