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

Author Question: If an increase in investment spending of 50 million results in a 400 million increase in equilibrium ... (Read 284 times)

sheilaspns

  • Hero Member
  • *****
  • Posts: 567
on: Jun 29, 2018
If an increase in investment spending of 50 million results in a 400 million increase in equilibrium real GDP, then
 
  A) the multiplier is 0.125. B) the multiplier is 3.5.
  C) the multiplier is 8. D) the multiplier is 50.

Question 2

Expansionary fiscal policy to prevent real GDP from falling below potential real GDP would cause the inflation rate to be ________ and real GDP to be ________.
 
  A) higher; lower B) higher; higher C) lower; lower D) lower; higher


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

guyanai

  • Sr. Member
  • ****
  • Posts: 349
Reply #1 on: Jun 29, 2018
Answer to Question 1

C

Answer to Question 2

B


sheilaspns

  • Member
  • Posts: 567
Reply 2 on: Jun 29, 2018
Wow, this really help

nathang24

  • Member
  • Posts: 314
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

About 600,000 particles of skin are shed every hour by each human. If you live to age 70 years, you have shed 105 pounds of dead skin.

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?

When blood is exposed to air, it clots. Heparin allows the blood to come in direct contact with air without clotting.

Did you know?

Cutaneous mucormycosis is a rare fungal infection that has been fatal in at least 29% of cases, and in as many as 83% of cases, depending on the patient's health prior to infection. It has occurred often after natural disasters such as tornados, and early treatment is essential.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

A partial stream sampling exhaust probe being used to measure exhaust gases in parts per million ... A partial stream sampling exhaust probe being used to measure exhaust gases in parts per million ...
Researchers and Research Spending, 2009 Researchers and Research Spending, 2009
Complement Activation and Results Complement Activation and Results
Distribution of skin color as measured by a reflectometer at a wavelength of 685 nm. The results are Distribution of skin color as measured by a reflectometer at a wavelength of 685 nm. The results are
Write equilibrium constant expressions for the following reactions in terms of concentration: Write equilibrium constant expressions for the following reactions in terms of concentration:
An example of DNA profile results for the 13 original CODIS STRs An example of DNA profile results for the 13 original CODIS STRs
Video: The Pressure Flow Model in a Plant

For a complete list of videos, visit our video library