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Author Question: If autonomous investment increases by 200 billion and the marginal propensity to consume (MPC) is ... (Read 99 times)

ec501234

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If autonomous investment increases by 200 billion and the marginal propensity to consume (MPC) is 0.5, then
 
  A) real Gross Domestic Product (GDP) will rise by 100 billion.
  B) real Gross Domestic Product (GDP) will rise by 200 billion.
  C) real Gross Domestic Product (GDP) will rise by 400 billion.
  D) real Gross Domestic Product (GDP) will decrease by 100 billion.

Question 2

A period in which real GDP in the economy declines for at least six months is referred to as
 
  A) a recession. B) living standards.
  C) long term growth. D) a positive fluctuation.



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dreamfighter72

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Answer to Question 1

C

Answer to Question 2

A




ec501234

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Reply 2 on: Jun 30, 2018
:D TYSM


matt95

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Reply 3 on: Yesterday
Great answer, keep it coming :)

 

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