If the MPC = 4/5, then the government purchases multiplier is

a. 5/4.
b. 4/5.
c. 5.
d. 20.


c

Economics

You might also like to view...

A demand schedule

A) holds all prices constant. B) is only for a given time period. C) holds quantity constant. D) is for a given variety of goods.

Economics

Investment, as defined by economists, would include the purchase of a

A) corporate bond. B) government bond. C) share of stock in ExxonMobil. D) computer by an accounting firm.

Economics

Samurai Sushi produces sushi using one variable input - labor. Samurai Sushi is a consumer in the ________ market and a producer in the ________ market.

A. labor; sushi B. capital; labor C. capital; sushi D. sushi; labor

Economics

Minimum efficient scale is defined as the level of output at which

A) the firm's long-run average total cost starts falling. B) all economies of scale are exhausted. C) the maximum output is produced. D) diminishing returns affect average total cost.

Economics