The simple multiplier
A) when divided by consumption spending equals saving
B) is defined as 1.0 divided by the marginal propensity to save
C) is defined as 1.0 divided by the marginal propensity to consume
D) is equal to the MPS plus the MPC
E) is equal to the MPS minus the MPC
Correct Answer:
Verified
Q41: If the marginal propensity to consume equals
Q42: If autonomous investment expenditures decline because of
Q43: The larger the MPS,the smaller the multiplier
Q44: The larger the MPC,the greater the multiplier
Q45: If the economy is currently at equilibrium
Q47: Exhibit 9-9 Q48: Exhibit 9-9 Q49: If the mps is 0.25,the simple multiplier Q50: Exhibit 9-9 Q51: If investment increases by $100 and,as a Unlock this Answer For Free Now! View this answer and more for free by performing one of the following actions Scan the QR code to install the App and get 2 free unlocks Unlock quizzes for free by uploading documents
