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Author Question: If an economy's MPCis 0.75 and the MPMis 0.25, then an increase in government spending of $2,000 ... (Read 85 times)

kaid0807

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Question 1

The open economy multiplier will increase if


◦ the 
MPC increases.
◦ the 
MPM decreases.
◦ either the 
MPM or the 
MPC increases.
◦ the 
MPM increases.

Question 2

If an economy's 
MPC is 0.75 and the 
MPM is 0.25, then an increase in government spending of $2,000 will increase income by


◦ $2,100.
◦ $3,000.
◦ $4,000.
◦ $8,000.


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Marked as best answer by kaid0807 on Apr 19, 2019

ecabral0

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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