Suppose Aggregate Output Is Demand- Determined

question 42

Multiple Choice

Suppose aggregate output is demand- determined. If the business community decreases its planned investment expenditures by $4 billion, causing equilibrium national income to fall by $12 billion, the marginal propensity to spend must be

• A)2/5.
• B)1/3.
• C)1/2.
• D)2/3.
• E)4/5.

Identify the characteristics of goods and the implications for contracts involving future goods or uniquely manufactured items.

Understand the legal differences between sales and bailments.

Recognize the implications of the UCC on merchants, including the modifications to common law rules.

Understand the differences between auctions with reserve and auctions without reserve.

---

Definitions:

Confidence Level

A statistical measure that quantifies the uncertainty or certainty in a sampling method.

Margin of Error

A measure of the accuracy of a public opinion poll, reflecting the maximum expected difference between the poll's results and the actual opinion of the total population.

Experimental Result

The outcome or data obtained from conducting a scientific experiment.

Populism

A belief in the wisdom of the common people and in the equality of all people.