Author Question: If the economy is on the flat part of the AScurve, the multiplier will be (Read 71 times)

Sufayan.ah · **on:** Apr 19, 2019

Question 1

________ reaches its peak about 9-12 months after a spending increase began.

◦ Income
◦ The inflation rate
◦ The multiplier
◦ GDP

Question 2

If the economy is on the flat part of the
AS curve, the multiplier will be

◦ larger than it would be if the economy were on the steep portion of the
AS curve.
◦ smaller than it would be if the economy were on the steep portion of the
AS curve.
◦ constant regardless of where the economy is on the
AS curve.
◦ infinite, as compared to zero if the economy is on the steep portion of the
AS curve.

Dominic · **Reply #1 on:** Apr 19, 2019

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