Consider a Simple Macro Model with a Constant Price Level

question 110

Multiple Choice

Consider a simple macro model with a constant price level and demand-determined output.If the marginal propensity to spend in such a model is 0.8,the simple multiplier is

• A)0.
• B)0.8.
• C)1.25.
• D)5.0.
• E)8.0.

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Definitions:

Neurons Together

An expression referring to how neurons function collectively in networks to process and transmit information in the nervous system.

Nucleus

The central and most important part of an object, movement, or group, forming the basis for its activity and growth, or in biology, the membrane-bound organelle in a cell that contains DNA.

Soma

In biological terms, it refers to the body of an organism as distinct from its reproductive cells, or in cellular anatomy, the cell body of a neuron.

Neuron

A specialized cell that conducts impulses through the nervous system.