If the marginal propensity to consume is 0.6 and prices do not change, the multiplier is? 1/0.6 = 1.67|0.6|1/(1 – 0.6) = 2.5|1/(1 + 0.6) = 0.63
If the marginal propensity to consume is 0.6 and prices do not change, the multiplier is? 1/0.6 = 1.67|0.6|1/(1 – 0.6) = 2.5|1/(1 + 0.6) = 0.63
In an economy, the portion of household spending that occurs independent of household income is known as A: autonomous consumption. B: dissavings. C: the marginal propensity to consume. D: the consumption function.
In an economy, the portion of household spending that occurs independent of household income is known as A: autonomous consumption. B: dissavings. C: the marginal propensity to consume. D: the consumption function.
If Slovenia were a large country in world trade, then if it instituted a large set of subsidies for its exports, this must A: have no effect on its terms of trade. B: harm world terms of trade. C: harm its terms of trade. D: decrease its marginal propensity to consume.
If Slovenia were a large country in world trade, then if it instituted a large set of subsidies for its exports, this must A: have no effect on its terms of trade. B: harm world terms of trade. C: harm its terms of trade. D: decrease its marginal propensity to consume.
Which of the following resulted in a surge in international lending to developing countries in the mid-1970s to early 1980s? A: Oil-exporting countries had a low short-run propensity to save out of their extra income. B: The real interest rates in the industrial countries were significantly high. C: The governments of the developing countries encouraged foreign direct investment (FDI) and foreign institutional investments (FII). D: Lending to developing countries gained momentum through "herding" behavior.
Which of the following resulted in a surge in international lending to developing countries in the mid-1970s to early 1980s? A: Oil-exporting countries had a low short-run propensity to save out of their extra income. B: The real interest rates in the industrial countries were significantly high. C: The governments of the developing countries encouraged foreign direct investment (FDI) and foreign institutional investments (FII). D: Lending to developing countries gained momentum through "herding" behavior.