When investment remains the same at each level of GDP in a private closed economy, the slope of the aggregate expenditures schedule:
A. exceeds the MPC.
B. is less than the MPC.
C. equals the MPS.
D. equals the MPC.
D. equals the MPC.
You might also like to view...
An economy is experiencing a recession and policy makers are considering using discretionary fiscal policy to eliminate the recessionary ga
What will be an ideal response?
Suppose the economy is experiencing frictional unemployment of 1 percent, structural unemployment of 3 percent and cyclical unemployment of 4 percent. What is the natural unemployment rate?
A) 3 percent B) 4 percent C) 5 percent D) 7 percent
Buyers' expenditures and sellers' revenues are always identical
a. True b. False Indicate whether the statement is true or false
An ultimatum game is:
A. the only game played by unions in reality. B. one in which one player makes an offer and the other player has the simple choice of whether to accept or reject. C. a repeated sequential game. D. one in which one player makes an offer and the other player has the choice of whether to accept or offer a counteroffer.