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Author Question: Assuming no government or foreign sector, if the mpc is 0.8, the multiplier is (Read 98 times)

renzo156

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Question 1

A decrease in net taxes at a given price level leads to
◦ a decrease in aggregate demand.
◦ a decrease in aggregate supply.
◦ an increase in aggregate demand.
◦ no change in aggregate demand.

Question 2

Assuming no government or foreign sector, if the mpc is 0.8, the multiplier is
◦ 1.25.
◦ 0.8.
◦ 5.
◦ 0.2.


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Marked as best answer by renzo156 on May 25, 2020

efwsefaw

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renzo156

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Reply 2 on: May 25, 2020
:D TYSM


laurnthompson

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Reply 3 on: Yesterday
Wow, this really help

 

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