If the Spending Multiplier Is Equal to 5, Then a $1

question 44

Multiple Choice

If the spending multiplier is equal to 5, then a $1 initial increase in investment spending will lead to a:

• A)5 percent decrease in real GDP.
• B)5 percent increase in real GDP.
• C)$5 decrease in real GDP.
• D)$5 increase in real GDP.
• E)0.05 percent increase in real GDP.

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Ongoing practice and application of abilities necessary for daily living and independence.

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A standardized scale used to assess an elderly patient's ability to perform daily living activities independently.