Question 49 2 pts Given a marginal propensity consume = 8 (Ceteris paribus) and the government...
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.
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.
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 Group of answer choices .20 .10 20 .75
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.
Here are some facts about the economy of Inferior. Marginal propensity to consume 3/5 marginal propensity to import 0 autonomous consumption 4 exports 0 private investment 20 income tax rate 0 government expenditures 0 Income consumption investment government aggregate expenditures expenditures 0 10 20 30 40 50 60 70 80 90 What is equilibrium GDP?
Suppose the marginal propensity to consume if 0.75 and autonomous consumption (consumption at zero income) is $4,000. If income is $50,000, consumption spending is a. $37,500 b. $41,500 C. $45,500 d. $54,000 QUESTION 4 If the consumption function for an economy is C = 180 + 75 Yd (disposable income) and spending increases by $800, then the resulting change in national income is a. +$2,800 OOO b. 5-3,200 c. $-2,800 d. $+3,200 QUESTION 5 Assume the actual GDP is $4800...
7. If marginal propensity to consume (mpc) is 0.8, tax rate (t) is 0.2, and marginal propensity to import (mpm )is 0.14, then the multiplier is: a) 4 b) 2 c) 3 d) 2.33 Your answer: Explanation: le 8. Given the value of the multiplier you got from question 7, if the government wanted to raise the equilibrium GDP by 100, it could: a) Raise only G by $100 b) Raise both G and T by 50 c) Raise only...
Assume an economy in which the marginal propensity to consume is 90%. Given an increase in government spending of $100, equilibrium gross domestic product will increase by: A. $100 B. $90 C. $1,000 D. $190
According to the table, the value of the marginal propensity to consume is Income Consumption $1,000 $900 $2,000 $1,700 $3,000 $2,500 $4,000 $3.300 $5,000 $4,100 0.8 O 0.7 0.9. 0.6. 0.5. D Question 26 1 pts Injecting new money into the economy eventually causes O stagflation. O unemployment. O arecession. inflation. deflation.
According to the table, the value of the marginal propensity to consume is Income Consumption $1,000 $900 $2,000 $1,700 $3,000 $2,500 $4,000 $3.300 $5,000 $4,100 0.8 O 0.7...