The equilibrium level of real GDP is $1,000 . the target full-employment level of real GDP is $1,500, and the marginal propensity to consume is 0.75 . The target can be reached if government spending is:
a. increased by $100 billion.
b. increased by $125 billion.
c. increased by $500 billion.
d. held constant.
b
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A Nov Soybean call has a strike price of $11.50. The underlying November futures price is $12.00. The intrinsic value is
A. -$0.50/bu B. $0.00/bu C. $1.00/bu D. $0.50/bu
Why does a country's increased specialization due to trade raise issues of fairness?
What will be an ideal response?
If sales in an industry decline,
a. demand for additional labor also declines. b. demand for additional labor increases. c. demand for additional labor stays the same. d. the unemployment rate definitely falls.
Social Security payments were:
A. not originally adjusted for inflation, causing the real value to retirees to increase over time. B. not originally adjusted for inflation, causing the real value to retirees to decrease over time. C. originally adjusted for inflation, causing the real value to retirees to increase over time. D. originally adjusted for inflation, causing the real value to retirees to decrease over time.