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

Author Question: If government spending is increased by $500, taxes are reduced by $200, and the MPSis 0.2, ... (Read 87 times)

bobypop

  • Hero Member
  • *****
  • Posts: 539

Question 1

If the tax multiplier is -5.25, then the government purchases multiplier


◦ is 6.25.
◦ is 4.75.
◦ is 0.75.
◦ cannot be determined because the 
MPS is not given.

Question 2

If government spending is increased by $500, taxes are reduced by $200, and the 
MPS is 0.2, equilibrium output will change by


◦ $1,500.
◦ $1,700.
◦ $3,300.
◦ $3,500.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by bobypop on Apr 19, 2019

kingdude89

  • Sr. Member
  • ****
  • Posts: 336
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 56% of students answer this correctly




kingdude89

  • Sr. Member
  • ****
  • Posts: 336

 

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

Did you know?

Patients should never assume they are being given the appropriate drugs. They should make sure they know which drugs are being prescribed, and always double-check that the drugs received match the prescription.

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates’s recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

Did you know?

The first oral chemotherapy drug for colon cancer was approved by FDA in 2001.

Did you know?

After 5 years of being diagnosed with rheumatoid arthritis, one every three patients will no longer be able to work.

For a complete list of videos, visit our video library