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Suppose the Government Embarks on an Infrastructure Program,spending $8 Billion

question 91

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Suppose the government embarks on an infrastructure program,spending $8 billion on the construction of new roads and bridges.What is the size of the multiplier if the AS curve is vertical?


Definitions:

Unconditioned Stimulus

In classical conditioning, it refers to a stimulus that naturally triggers a response without any prior learning.

Discriminative Response

A behavioral response that differentiates between various stimuli, showing an ability to discern or discriminate between them.

Conditioned Response

A learned response to a previously neutral stimulus that has become conditioned through association.

Cat Food

Manufactured food specifically formulated to meet the nutritional needs of domestic cats.

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