If the MPS is 0.25, then the multiplier is 4.
Answer the following statement true (T) or false (F)
True
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At what phase of the business cycle does the natural rate of unemployment occur?
a. at the peak during a boom b. at the midpoint between a recession and a boom c. at the trough during a recession d. never because it is purely hypothetical
Consumption taxes are generally viewed as
A. regressive. B. progressive. C. simple to calculate. D. multiplicative.
Who selects the board of directors of a corporation?
A) stockholders B) managers C) the state where the corporation is chartered D) employees
The inflation rate in a particular country changed from 4 percent to 8 percent during two subsequent quarters of the same year. As a result, retail outlets had to reprint new sticker prices for their products. This additional cost borne by the retailers because of the inflation is an example of a: a. menu cost
b. shoe-leather cost. c. unit-of-account cost. d. time cost.