If a $75 Billion Increase in Autonomous Expenditure Increases Equilibrium

question 142

Multiple Choice

If a $75 billion increase in autonomous expenditure increases equilibrium expenditure by $150 billion, then the multiplier must be

• A) $225 billion.
• B) 0.5.
• C) $75 billion.
• D) 2.

Understand the concept of perceptual constancy and its types.

Comprehend the principles of Gestalt psychology in perception.

Recognize the mechanisms of size and shape constancy.

Identify various depth cues and their role in perception.

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Definitions:

Real GDP

The measure of the value of all final goods and services produced within a country adjusted for inflation or deflation.

DSO

Stands for Days Sales Outstanding, a measure used by companies to assess the average number of days it takes to collect payment after a sale has been made.

Bad Debt

Money owed to a company that is unlikely to be paid by the debtor, often considered a loss for the company.

Credit Policy

The guidelines a company follows to determine credit terms for customers, including payment terms, credit limits, and how to handle late payments.