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

Author Question: If a fall in investment demand of 100 units causes equilibrium income to fall by 150 units in the ... (Read 78 times)

nmorano1

  • Hero Member
  • *****
  • Posts: 598
on: Jun 30, 2018
If a fall in investment demand of 100 units causes equilibrium income to fall by 150 units in the simple Keynesian model, then the marginal propensity to save must be
 
  a. .25.
  b. 1.5.
  c. .5.
  d. 1/3.
  e. 2/3.

Question 2

If people increase their expected rate of interest, the speculative demand for money curve will _____ and money supply will _____.
 
  a. shift downward, remain unchanged.
  b. shift upward; remain unchanged.
  c. not be affected; shifts upward.
  d. not be affected; not be affected.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

mcni194

  • Sr. Member
  • ****
  • Posts: 311
Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

A


nmorano1

  • Member
  • Posts: 598
Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

tandmlomax84

  • Member
  • Posts: 323
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

Anti-aging claims should not ever be believed. There is no supplement, medication, or any other substance that has been proven to slow or stop the aging process.

Did you know?

More than 34,000 trademarked medication names and more than 10,000 generic medication names are in use in the United States.

Did you know?

Fatal fungal infections may be able to resist newer antifungal drugs. Globally, fungal infections are often fatal due to the lack of access to multiple antifungals, which may be required to be utilized in combination. Single antifungals may not be enough to stop a fungal infection from causing the death of a patient.

Did you know?

Signs and symptoms that may signify an eye tumor include general blurred vision, bulging eye(s), double vision, a sensation of a foreign body in the eye(s), iris defects, limited ability to move the eyelid(s), limited ability to move the eye(s), pain or discomfort in or around the eyes or eyelids, red or pink eyes, white or cloud spots on the eye(s), colored spots on the eyelid(s), swelling around the eyes, swollen eyelid(s), and general vision loss.

Did you know?

Patients who have been on total parenteral nutrition for more than a few days may need to have foods gradually reintroduced to give the digestive tract time to start working again.

Fall Fall
Fall Fall
Fall Fall
Some IAC units are purchased with the housing as shown. Carbon buildup in these passages can cause ... Some IAC units are purchased with the housing as shown. Carbon buildup in these passages can cause ...
Intergenerational Income Mobility in the United States Intergenerational Income Mobility in the United States
Saving Rate by Decile of Income per Capita Saving Rate by Decile of Income per Capita
Video: Male Reproductive System - Testosterone

For a complete list of videos, visit our video library