The Notion That a Change in Autonomous Aggregate Expenditures Produces

question 23

Multiple Choice

The notion that a change in autonomous aggregate expenditures produces a larger change in equilibrium real GDP in the aggregate expenditures model is called the

• A) permanent income effect.
• B) current income effect.
• C) multiplier effect.
• D) marginal propensity to consume.

---

Definitions:

Fem Cap

A brand of cervical caps, which are barrier methods of contraception worn inside the vagina to cover the cervix.

Depo-Provera

A contraceptive injection for women that contains the hormone progestin to prevent ovulation, effectively reducing the chance of pregnancy.

Laparoscopy

A minimally invasive surgical procedure using a laparoscope to examine or treat parts of the abdomen or pelvis.

Discontinuous Innovation

Innovation that represents a significant leap forward, creating new markets or drastically changing the performance and usage of products within existing markets.