If a country's imports are very important in determining the ...

[mydiamond]

If a country's imports are very important in determining the volume of exports from its trading partners, then:
 a. the simple spending multiplier understates the true value of the multiplier.
  b. the spending multiplier will be equal to 1/marginal propensity to import.
  c. the simple spending multiplier is an accurate measure of the multiplier effect.
  d. the simple spending multiplier will be equal to 1/MPC
  e. the spending multiplier will be equal to 1/marginal propensity to save.

Question 2

The law of demand refers to the:
 a. negative relationship between the price of a good and the willingness of producers to sell it.
  b. price increase that results from an increase in demand.
 c. inverse relationship between the price of a good and the quantity demanded.
 d. increase in the quantity of a good made available when its price increases.

[livaneabi]

Answer to Question 1

a

Answer to Question 2

c

[mydiamond]

TYSM

[DylanD1323]

Excellent