Which of the Following Would Increase the Size of the Government

question 174

Multiple Choice

Which of the following would increase the size of the government purchases multiplier?

• A)an increase in the tax rate
• B)an increase in the quantity of imports purchased by households from an increase in income
• C)a decrease in the amount of consumption spending by households from an increase in income
• D)a decrease in the amount saved by households from an increase in income

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Definitions:

Infant Mortality Rates

The statistical measure of the number of deaths of infants under one year of age per 1,000 live births in a given year.

Life Expectancies

The average period that an individual is expected to live, based on statistical averages of age-specific death rates.

Insurance Coverage

The extent and type of protection provided by an insurance policy against risks, including healthcare costs, loss, or damage.

Entrepreneurial System

An economic framework where innovation and business ventures are encouraged and supported, often leading to significant economic growth.