The spending multiplier measures the change in equilibrium income that results from a change in:
a. consumption.
b. interest rates.
c. savings.
d. net exports.
e. autonomous expenditures.
e
You might also like to view...
Government purchases of goods and services are
A. exhaustive because they directly absorb or employ resources and account for production. B. neither exhaustive or nonexhaustive because of the tax revenues that finance these purchases. C. nonexhaustive because they do not directly absorb resources and account for production. D. both exhaustive and nonexhaustive because in some cases they do directly absorb resources or account for production and in other cases they do not.
Which of the following is not a characteristic of the broiler chicken industry?
A) A significant degree of industry concentration, with the four largest firms producing 40 percent of the industry's output. B) A significant degree of real and subjective product differentiation. C) An inability of individual firms to have any influence market price. D) A significant amount of advertising.
The significance level of a test is:
A. the probability of rejecting the null hypothesis when it is false. B. one minus the probability of rejecting the null hypothesis when it is false. C. the probability of rejecting the null hypothesis when it is true. D. one minus the probability of rejecting the null hypothesis when it is true.
Which of the following is an accurate statement about price ceilings?
a. They often clarify price signals sent to consumers. b. They often distort price signals sent to producers. c. They often enable price signals to be sent to consumers. d. They often prevent price signals from being sent to producers.