If the Multiplier for a Change in Autonomous Expenditure Is

question 335

Multiple Choice

If the multiplier for a change in autonomous expenditure is 10 and there are no income taxes or imports, then the MPC is

• A) 0.9.
• B) 9.0.
• C) 1.0.
• D) 0.1.

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Definitions:

Development Requirement

Conditions that must be met for a region or country to achieve economic growth, including infrastructure, education, and healthcare.

Inflation Rate

The percentage increase in the price level of goods and services in an economy over a period of time, typically measured on an annual basis.

Government Control

Government control refers to the mechanisms, regulations, and actions taken by a government to oversee, direct, or manage its country's economic activities, industries, or individual behavior.

Public Outlays

Government spending or expenditure, including costs on public services, infrastructure, and social welfare programs.