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

Author Question: If net exports increase by 10 billion and the MPC = 0.6, the resulting increase in the consumption ... (Read 41 times)

javeds

  • Hero Member
  • *****
  • Posts: 570
If net exports increase by 10 billion and the MPC = 0.6, the resulting increase in the consumption component of AD is:
 a. 25 billion.
  b. 15 billion.
  c. 6 billion.
 d. 4 billion.

Question 2

Suppose the National Bank has total cash reserves of 2,000 and has 5,000 in total deposits. If its total excess reserves are 1,250, then the reserve requirement is equal to:
 a. 25 percent.
  b. 15 percent.
  c. 10 percent.
  d. 5 percent.
  e. 20 percent.



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

bimper21

  • Sr. Member
  • ****
  • Posts: 309
Answer to Question 1

b

Answer to Question 2

b




javeds

  • Member
  • Posts: 570
Reply 2 on: Jun 30, 2018
:D TYSM


hollysheppard095

  • Member
  • Posts: 339
Reply 3 on: Yesterday
Gracias!

 

Did you know?

More than 30% of American adults, and about 12% of children utilize health care approaches that were developed outside of conventional medicine.

Did you know?

Common abbreviations that cause medication errors include U (unit), mg (milligram), QD (every day), SC (subcutaneous), TIW (three times per week), D/C (discharge or discontinue), HS (at bedtime or "hours of sleep"), cc (cubic centimeters), and AU (each ear).

Did you know?

The average older adult in the United States takes five prescription drugs per day. Half of these drugs contain a sedative. Alcohol should therefore be avoided by most senior citizens because of the dangerous interactions between alcohol and sedatives.

Did you know?

The liver is the only organ that has the ability to regenerate itself after certain types of damage. As much as 25% of the liver can be removed, and it will still regenerate back to its original shape and size. However, the liver cannot regenerate after severe damage caused by alcohol.

Did you know?

All adults should have their cholesterol levels checked once every 5 years. During 2009–2010, 69.4% of Americans age 20 and older reported having their cholesterol checked within the last five years.

For a complete list of videos, visit our video library