If disposable income falls by $40 billion and consumption falls by $30 billion, then the slope of the consumption function is
A) 1.33. B) 0.75. C) 0.4. D) 0.3.
B
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The ________ is the final amount that will be paid to the holder of a coupon bond
A) discount value B) coupon value C) face value D) present value
If net exports decrease by 250 and the mpc is 0.75, equilibrium aggregate output
A) increases by 1000. B) increases by 750. C) decreases by 750. D) decreases by 1000.
Domestic firms operating abroad may find it economically beneficial to adopt environment-friendly standards because
A) foreign nations may be upset if firms do not use the environment-friendly technology. B) the least-cost strategy usually involves the adoption of one set of environment-friendly technology rather than multiple standards. C) they may be forced to replace the old technology whenever the foreign country experiences positive economic development. D) their environment-unfriendly technology may be replaced by foreign-based technology.
Assume the current interest rate is 25%. The present value of $2,000 to be received in one year would be
A. $1,000. B. $1,200. C. $1,600. D. $1,800.