If the MPC = 0.5 and there is no crowding out, then the spending multiplier is
a. 2
b. 1
c. 4
d. 0.5
a
Economics
You might also like to view...
Refer to Figure 2-14. Which country has a comparative advantage in the production of popsicles?
A) Greenland B) They have equal productive abilities. C) Iceland D) neither country
Economics
Commodity egalitarianism suggests that some goods be available to everyone.
A. True B. False C. Uncertain
Economics
The value of a good is
a. subjective. b. objective or intrinsic. c. determined by a government statistical agency. d. determined by its cost of production.
Economics
To maximize profits, a perfectly competitive firm should produce where marginal:
A. cost equals marginal revenue. B. revenue exceeds marginal cost. C. cost equals total revenue. D. cost exceeds marginal revenue.
Economics