[Answered] If the marginal propensity to consume (MPC) is 0.60, what is the spending multiplier? a. 0.4. b. ...

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Author Question: If the marginal propensity to consume (MPC) is 0.60, what is the spending multiplier? a. 0.4. b. ... (Read 316 times)

dakota nelson

Hero Member
Posts: 604

on: Jun 30, 2018

If the marginal propensity to consume (MPC) is 0.60, what is the spending multiplier?
a. 0.4.
b. 0.6.
c. 2.5.
d. 6.0.

Question 2

Which of the following is not counted as part of M1?
a. Coins.
b. Federal Reserve notes or paper money.
c. Passbook savings deposits.
d. Checkable deposits.

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carolinefletcherr

Sr. Member
Posts: 313

Reply #1 on: Jun 30, 2018

Answer to Question 1

c

Answer to Question 2

c

dakota nelson

Hero Member
Posts: 604

Reply #2 on: Jun 30, 2018

Correct answers!

carolinefletcherr

Sr. Member
Posts: 313

Reply #3 on: Jun 30, 2018

Great! Please up vote

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Author Question: If the marginal propensity to consume (MPC) is 0.60, what is the spending multiplier? a. 0.4. b. ... (Read 316 times)

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