If DI Falls by $100 Billion, and C Falls by $90

question 118

Multiple Choice

If DI falls by $100 billion, and C falls by $90 billion, the slope of the consumption is

• A)−0.45.
• B)0.45.
• C)−0.90.
• D)0.90.
• E)0.50.

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Definitions:

Treaties

Formal agreements between sovereign states or between sovereign states and international organizations, typically ratified by the legislative bodies of those entities.

Senate

The upper house of the United States Congress or of a state legislature, responsible for making and passing laws.

Necessary and Proper Clause

A provision in the U.S. Constitution granting Congress the power to pass all laws necessary and proper for carrying out its enumerated powers.

National Government

The political authority that governs an entire nation, as opposed to local or state governments.