If Aggregate Expenditures Rise by $200 Billion and Real GDP

question 30

True/False

If aggregate expenditures rise by $200 billion and real GDP consequently rises by $500 billion, then the MPC in the economy must be 0.4.

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Definitions:

Counterfeiting

The creation of imitation products, currency, or documents with the intent to deceive or defraud by passing the fake item off as genuine.

Trademarks

Legal symbols, words, or phrases registered to represent a company or product, used to distinguish them from competitors.

Embezzlement

The fraudulent appropriation of the property or money of another by a person to whom it has been entrusted.

Fraudulent Appropriation

The illegal use or misallocation of funds or property that belongs to someone else without their authorization, typically with deceitful intent.