Because a Decrease in Real Autonomous Spending Results in a ________

question 179

Multiple Choice

Because a decrease in real autonomous spending results in a ________ in the price level, the ultimate effect on real GDP is ________ than predicted by the multiplier.

• A) fall; smaller
• B) fall; larger
• C) rise; smaller
• D) fall, smaller

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Definitions:

Sustainability Initiatives

Efforts made by individuals, organizations, or governments to reduce environmental impact and promote responsible resource use for future generations.

Mitigation of Risk

Strategies and actions taken to reduce the severity, impact, or likelihood of potential threats and vulnerabilities to a project, system, or investment.

Segment Customers

The practice of dividing a business's total customer base into smaller groups based on particular criteria such as needs, characteristics, or behaviors to tailor marketing and service approaches.