If consumers spend 90 cents out of every extra dollar received, the
A. Multiplier is 0.90.
B. Multiplier is 9.
C. MPS is 0.90.
D. MPC is 0.90.
Answer: D
You might also like to view...
It is not uncommon for people who travel by bus in Bosnia to keep the windows shut tight, even in warmer weather. Passengers worry about drafts caused by an open window leading to head colds
Apparently folks would rather travel for hours in stuffy busses than take the chance on getting sick. Suppose, however, the correlation between open windows and colds is only a coincidence, and no causal connection between the two variables exists. Then A) the travelers are displaying mistaken reasoning. B) the travelers are nevertheless acting in a way they think yields them the greatest net benefit. C) both A and B are true. D) none of the above are true.
The ability to make counteroffers transforms bargaining from a game in which ________ trumps everything to a game in which ________ is the winning strategy.
A. first-mover advantage; patience B. patience; first-mover advantage C. commitment strategy; self-interested behavior D. first-mover advantage; cooperation
If the demand curve increases while the supply curve remains unchanged, the equilibrium price would increase
a. True b. False Indicate whether the statement is true or false
The Federal Reserve helped J.P. Morgan purchased Bear Stearns by agreeing to purchase some unwanted Bear Stearns assets
a. True b. False Indicate whether the statement is true or false