This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: If investment decreases by 20 billion and the MPC = 0.8, the resulting decrease in the consumption ... (Read 83 times)

mia

  • Hero Member
  • *****
  • Posts: 564
on: Jun 30, 2018
If investment decreases by 20 billion and the MPC = 0.8, the resulting decrease in the consumption component of AD is:
 a. 16 billion.
 b. 4 billion.
 c. 100 billion.
  d. 80 billion.

Question 2

If a bank has deposits worth 800,000 . total reserves worth 800,000 . and the reserve ratio of 0.20, what is the value of excess reserves?
 a. 620,000
  b. 1,000,000
  c. 1,160,000
  d. 640,000
  e. 160,000


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

cpetit11

  • Sr. Member
  • ****
  • Posts: 321
Reply #1 on: Jun 30, 2018
Answer to Question 1

d

Answer to Question 2

d


mia

  • Member
  • Posts: 564
Reply 2 on: Jun 30, 2018
Wow, this really help

lkanara2

  • Member
  • Posts: 329
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

Alzheimer's disease affects only about 10% of people older than 65 years of age. Most forms of decreased mental function and dementia are caused by disuse (letting the mind get lazy).

Did you know?

Acute bronchitis is an inflammation of the breathing tubes (bronchi), which causes increased mucus production and other changes. It is usually caused by bacteria or viruses, can be serious in people who have pulmonary or cardiac diseases, and can lead to pneumonia.

Did you know?

Warfarin was developed as a consequence of the study of a strange bleeding disorder that suddenly occurred in cattle on the northern prairies of the United States in the early 1900s.

Did you know?

The modern decimal position system was the invention of the Hindus (around 800 AD), involving the placing of numerals to indicate their value (units, tens, hundreds, and so on).

Did you know?

The FDA recognizes 118 routes of administration.

World fossil fuel consumption since 1950 World fossil fuel consumption since 1950
Possible Earth 5 billion years from now Possible Earth 5 billion years from now
Globalized Consumption Globalized Consumption
Global consumption of fossil fuel Global consumption of fossil fuel
Cereal production in Africa may decrease by as much as 50% by 2080 in some areas Cereal production in Africa may decrease by as much as 50% by 2080 in some areas
If we make the substitution z=sqrt(x) to ∫sqrt(1-sqrt(x)) dx, the resulting integral is If we make the substitution z=sqrt(x) to ∫sqrt(1-sqrt(x)) dx, the resulting integral is
Video: Structures that affect circulation - kidneys and blood volume and skeletal muscle pumping

For a complete list of videos, visit our video library