This topic contains a solution. Click here to go to the answer

Author Question: If autonomous investment increases by 200 billion and the marginal propensity to consume (MPC) is ... (Read 98 times)

ec501234

  • Hero Member
  • *****
  • Posts: 573
If autonomous investment increases by 200 billion and the marginal propensity to consume (MPC) is 0.5, then
 
  A) real Gross Domestic Product (GDP) will rise by 100 billion.
  B) real Gross Domestic Product (GDP) will rise by 200 billion.
  C) real Gross Domestic Product (GDP) will rise by 400 billion.
  D) real Gross Domestic Product (GDP) will decrease by 100 billion.

Question 2

A period in which real GDP in the economy declines for at least six months is referred to as
 
  A) a recession. B) living standards.
  C) long term growth. D) a positive fluctuation.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

dreamfighter72

  • Sr. Member
  • ****
  • Posts: 355
Answer to Question 1

C

Answer to Question 2

A




ec501234

  • Member
  • Posts: 573
Reply 2 on: Jun 30, 2018
Wow, this really help


Jsherida

  • Member
  • Posts: 314
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

 

Did you know?

Historic treatments for rheumatoid arthritis have included gold salts, acupuncture, a diet consisting of apples or rhubarb, nutmeg, nettles, bee venom, bracelets made of copper, prayer, rest, tooth extractions, fasting, honey, vitamins, insulin, snow collected on Christmas, magnets, and electric convulsion therapy.

Did you know?

People about to have surgery must tell their health care providers about all supplements they take.

Did you know?

According to research, pregnant women tend to eat more if carrying a baby boy. Male fetuses may secrete a chemical that stimulates their mothers to step up her energy intake.

Did you know?

Amphetamine poisoning can cause intravascular coagulation, circulatory collapse, rhabdomyolysis, ischemic colitis, acute psychosis, hyperthermia, respiratory distress syndrome, and pericarditis.

Did you know?

During pregnancy, a woman is more likely to experience bleeding gums and nosebleeds caused by hormonal changes that increase blood flow to the mouth and nose.

For a complete list of videos, visit our video library