Given a marginal propensity to consume = .8
(Ceteris paribus) and the government increases the level of transfer payments by $100,
we should expect that the GDP will increase by
$400.
$80.
$100.
$500.
Given a marginal propensity to consume = .8 (Ceteris paribus) and the government increases the level...
Question 49 2 pts Given a marginal propensity consume = 8 (Ceteris paribus) and the government increases the level of transfer payments by $100, we should expect that the GDP will increase by $400. O $100. O $80. O $500. Question 50 2 pts Given the following data for an economy, the value of the marginal propensity to invest is equal to: Consumption = 50+.75Y Investment = 20+.10Y Government = 60 Taxes = .20Y
1). Given a marginal propensity to consume = .8 (Ceteris paribus) and the government increases the level of transfer payments by $100, we should expect that the GDP will increase by a. $500. b. $80. c. $100. d. $400. 2). Suppose that actual GDP (Y) for France is 100 euros and: Consumption = 10 + .5Y Investment Spending = 5 Government Expenditure = 20 The Marginal Tax Rate (t) = .20 At these current levels, the size of the budget...
Given the economy's marginal propensity to consume = .8 (Ceteris paribus) by how much will national income increase when the government raises the level of transfer payments by $100? $100. $500. $80. $400.
if the marginal propensity to consume (MPC) is equal to 0.7, government increases spending by $X, and the GDP increases by $1000. Calculate $X. A. $500 B. $100. C. There is not enough information to answer the question. D. $ 400. E. $300.
If the marginal propensity to consume (MPC) equals 0.25 and the government increases spending by $600 billion, the total impact on GDP will be approximately:
If the marginal propensity to consume (MPC) is 0.75, and if the goal is to increase real GDP by $400 million, then by how much would government spending have to change to generate this increase in real GDP? Group of answer choices a. $200 million. b. $400 million. c. $140 million. d. $100 million.
If the marginal propensity to consume (MPC) is 2/3 and investment spending increases by $2 billion, the level of real output (GDP) will: increase by $10 billion. O increase by $3 billion. increase by $6 billion. O Increase by $8 billion
Suppose the marginal propensity to consume is 0.8. The government increases government spending and taxes by $10 billion. What happens to aggregate output demanded?
If autonomous investment increases by $100 million and the marginal propensity to consume (MPC) is 0.75, then A. real Gross Domestic Product (GDP) will fall by $200 billion. B. real Gross Domestic Product (GDP) will rise by $100 billion. C. real Gross Domestic Product (GDP) will rise by $200 billion. D. real Gross Domestic Product (GDP) will rise by $400 billion.
10.) An economy has a marginal propensity to consume and Y* , income-expenditure equilibrium GDP, equals $500 billion. Given an autonomous increase in plannėd investment of $10 billion, show the rounds of increased spending that take place by completing the accompanying table. The first and second rows are filled in for you. In the first row the increase of planned investment spending of $10 billion raises real GDP and YD by $10 billion, leading to an increase in consumer spending...