Suppose That a Change in Consumer Preferences Leads to a $50

question 121

Multiple Choice

Suppose that a change in consumer preferences leads to a $50 billion decrease in net exports. JIf the value of the multiplier is 3, what is the size of the shift in the aggregate demand after
Jthe multiplier process works through the economy?

• A) $150 billion
• B) $100 billion
• C) Less than $50 billion
• D) Cannot be determined without information on exports

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Definitions:

Acetaldehyde

A volatile, colorless, and flammable liquid with a pungent smell, used as a precursor to various chemicals and in the synthesis of drugs.

OCH Bond Angle

The angle formed between an oxygen, carbon, and hydrogen atom within a molecule, important for determining molecular geometry.

Cis-trans Isomers

Molecules with the same molecular formula but differing in the spatial arrangement of atoms or groups around a double bond or ring structure, leading to distinct properties.

Constitutional Isomers

Molecules that have the same molecular formula but differ in the way their atoms are connected.