The ratio of the increase in equilibrium real GDP to the increase in autonomous expenditure is called the
A) MPC. B) consumption function.
C) MPS. D) multiplier.
D
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How is the equilibrium exchange rate determined?
What will be an ideal response?
An inverse relationship exists when:
a. there is no association between two variables. b. one variable increases and there is no change in the other variable. c. one variable increases and the other variable increases. d. one variable increases and the other variable decreases.
Output in the goods and services market will be sustained into the future
a. if aggregate demand and short-run aggregate supply are in balance. b. only when the prior choices of decision makers were based on a correct anticipation of prices. c. only when prices are rising. d. only when wage rates are declining.
The Social Security tax is a tax on
a. capital. b. labor. c. land. d. savings.