Assume the Multiplier Is 5 and That the Total Crowding-Out

question 208

Multiple Choice

Assume the multiplier is 5 and that the total crowding-out effect is $20 billion.An increase in government purchases of $10 billion when the multiplier is 5 will shift the aggregate demand curve

• A)right $150 billion.
• B)right $70 billion.
• C)right $30 billion.
• D)None of the above is correct.

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Definitions:

Collaborative Counseling

A therapeutic approach where the counselor and client work together as partners to identify and resolve issues.

Externalizing

A defense mechanism where individuals project their feelings or internal conflicts onto their environment or other people instead of acknowledging them internally.

Narrative Counseling

A therapeutic approach that focuses on the stories people tell about their lives, with the aim to rewrite narratives in more empowering and positive ways.

Philosophic Stance

A particular philosophical outlook or attitude towards concepts, life, or existence.