Suppose the Price Level Is Constant,output Is Demand-Determined,and the Economy

question 152

Multiple Choice

Suppose the price level is constant,output is demand-determined,and the economy is closed with no government.If the consumption function is C = (1/2) Y,the simple multiplier is

• A)2/3.
• B)1.
• C)2.
• D)3.
• E)Insufficient information to know.

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Homogeneous Product

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Elements or circumstances that prevent or hinder the ability of new competitors to enter an industry or market.

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