If the MPC Is 2/3 Then the Multiplier Is

question 379

Multiple Choice

If the MPC is 2/3 then the multiplier is

• A)3/2, so a $100 increase in government spending increases aggregate demand by $150.
• B)3/2, so a $100 increase in government spending increases aggregate supply by $150.
• C)3, so a $100 increase in government spending increases aggregate demand by $300.
• D)3, so a $100 increase in government spending increases aggregate supply by $300.

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Definitions:

Dysfunctional Uterine Bleeding

Abnormal bleeding from the uterus that is not related to menstruation, often due to hormonal imbalances.

Abbreviation

An abbreviated form of a word or phrase employed to minimize space usage or to sidestep repetition.

Placenta Previa

A pregnancy complication where the placenta partially or wholly covers the cervix, often leading to bleeding.

High-Flying Placenta

A non-established medical term; could be misunderstood or incorrect as it does not match common medical literature or terminology.