When prices are fixed and there are no imports or income taxes, the value of the multiplier is
A) equal to one.
B) equal to zero.
C) greater than one.
D) less than one.
Correct Answer:
Verified
Q243: The multiplier is greater than 1 because
Q244: If the MPC increases from 0.75 to
Q245: Because of the multiplier, a one- time
Q246: If a $75 billion increase in autonomous
Q247: If the MPC = 0.9, then ignoring
Q249: In the short run, with fixed prices
Q250: When autonomous expenditure increases, equilibrium aggregate expenditure
A)
Q251: If prices are fixed, an increase in
Q252: The multiplier is greater than 1 because
A)
Q253: The multiplier is the amount by which
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