If the marginal propensity to consume (MPC) is 0.9, then the multiplier for a change in autonomous spending will be
A) 0.1.
B) 9.
C) 10.
D) 100.
C
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Which of the following best describes marginal cost?
a. The change in total cost when one additional unit of output is produced. b. Total cost divided by the quantity of output produced. c. Total variable cost divided by the quantity of output produced. d. Total fixed cost divided by the quantity of output produced. e. Costs that do not vary as output varies, and that must be paid even if output is zero.
Which of the following statements regarding poverty in the United States is correct?
a. There are as many poor African Americans as there are poor whites. b. The incidence of poverty is lower among females than among males. c. The incidence of poverty is higher among African Americans than among whites. d. Most of the poor people in the United States are elderly (over age 65).
Mercantilism was a system in which all of the following were true except:
A. governments limited growth by protecting monopolies. B. governments encouraged growth by supporting trading activities. C. economic rather than social forces controlled the central economic decisions. D. political rather than social forces controlled the central economic decisions.
According to the classical model, an increase in the American nominal money supply would cause the nominal exchange rate to ________ and the real exchange rate to ________.
A. depreciate; remain unchanged B. depreciate; appreciate C. appreciate; remain unchanged D. appreciate; depreciate