In the Simple Aggregate Expenditure Model Where All Components of Aggregate

question 201

Multiple Choice

In the simple aggregate expenditure model where all components of aggregate expenditure are autonomous except consumption, what is the value of the multiplier if the slope of the aggregate expenditures curve is 0.8?

• A) 1
• B) 4
• C) 5
• D) Cannot be determined without information on marginal propensity to consume.

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Definitions:

Caliper Pistons

That part of a disc brake caliper that applies pressure against the brake pad. Pistons are made of steel, plastic, or aluminum.

Frictional Energy

The energy that is generated by the friction between two surfaces moving against each other, often converted into heat.

Rotor Surface

The outer surface of a rotor, in systems like disc brakes, where frictional force is applied to slow down or stop the vehicle.

Cast Iron

A group of iron-carbon alloys with a relatively high carbon content, noted for their strength, wear resistance, and ability to withstand high temperatures.