If the MPS is 0.1, the government spending multiplier is
A. 10.
B. 5.
C. 2.
D. 1.11.
Answer: A
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Consider the market for blackjack dealers in Las Vegas. In each of the following cases, explain what happens to the equilibrium wage rate and the quantity of blackjack dealers hired
a. Three new large resort casinos open in Las Vegas. b. Fewer students are attending classes to learn to become blackjack dealers. c. Traditionally, blackjack dealing is a field that attracts foreign workers. However, changes in immigration laws have made it more difficult for foreign workers to come to Las Vegas to obtain jobs. The demand for blackjack dealers, however, does not change. d. Advances in technology have increased the popularity of electronic blackjack machines and decreased the popularity of live table games which require the use of a dealer.
Give an example of two products that are complements. Explain why they are complements.
What will be an ideal response?
Suppose nominal GDP equaled $10,988 billion while the M2 money supply was $6,063 billion. What was the velocity of the M2 money stock?
A. 0.45 B. 0.55 C. 1.81 D. 2.36
How do you account for the widespread use of tariffs and import quotas internationally but the virtual absence of such trade barriers among the 50 states?
What will be an ideal response?