If the marginal propensity to consume is 0.85 and there are no ...

[Tirant22]

If the marginal propensity to consume is 0.85 and there are no imports or income taxes, the expenditure multiplier is equal to
 
  A) 1  (1 - 0.85 ) = 1  0.15 = 1.45.
  B) 0.85  the change in autonomous expenditure.
  C) 0.85  1 = 0.85.
  D) 1  0.85 = 1.176.
  E) 1 - 0.85 = 0.15.

Question 2

In the foreign exchange market, the supply curve of dollars is
 
  A) vertical.
  B) downward sloping.
  C) identical to the demand curve for dollars.
  D) upward sloping.
  E) horizontal.

[alvinum]

Answer to Question 1

A

Answer to Question 2

D

[Tirant22]

Gracias!

[lindahyatt42]

Excellent