Use the Following to Answer Questions

question 17

Multiple Choice

Use the following to answer questions .
Exhibit: Real GDP and the Multiplier

-(Exhibit: Real GDP and the Multiplier) Holding everything else constant, if government purchases increase by $100 billion, equilibrium real GDP will increase by

• A) $100 billion.
• B) $200 billion.
• C) $250 billion.
• D) $300 billion.

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Definitions:

Cofactor

Nonprotein assistant required by an enzyme in order to function. Many cofactors are metal ions; others are coenzymes.

Inhibitor

A substance that slows down or prevents a particular chemical reaction or other process.

Activated

The state of being turned on or made active, often referring to a chemical or biological process.

Gene

A unit of heredity that is transferred from a parent to offspring and is held to determine some characteristic of the offspring.