Suppose the Consumption Equation Is Represented by C = 380

question 24

Multiple Choice

Suppose the consumption equation is represented by C = 380 + 0.75YD. The multiplier in this economy is:

• A) 4.0.
• B) 0.5.
• C) 5.0.
• D) 1.0.
• E) 2.0.

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Definitions:

Proctor & Gamble

A multinational consumer goods corporation specializing in a wide range of personal health/consumer health, and personal care and hygiene products.

Trade Advertising

Advertising aimed at professionals within a specific industry rather than the general public, to promote goods and services within that industry.

Woodworking Industry

Sector focused on the process of making items from wood, encompassing cabinet making, carpentry, and woodturning.

Custom Woodworking Business

A business that specializes in creating custom wooden furniture, decorations, or structures tailored to individual client specifications.