Suppose the marginal propensity to consume in an economy is 0.9. What would be the Keynesian multiplier in this economy?
Select one:
a. 0.1
b. 2
c. 5
d. 10
d. 10
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A roller coaster operator produces thrill-packed rides using electricity and a roller coaster. For the roller coaster operator, electricity is
A. an opportunity cost. B. a variable cost. C. a fixed cost. D. a sunk cost.
Personal income and property taxes paid by individuals are not included in the income approach of gross domestic product calculation
a. True b. False Indicate whether the statement is true or false
A shift in the demand curve occurs when
a. suppliers place more goods on the market. b. the price of a good rises. c. consumers want to buy more or less than before at a given price. d. the price of the good falls.
When a tax is imposed on buyers, consumer surplus decreases but producer surplus increases
a. True b. False Indicate whether the statement is true or false