Examlex
Assume that there is no accelerator affect.The MPC = 3/4.The government increases both expenditures and taxes by $600.The effect of taxes on aggregate demand is 3/4 the size of that created by government expenditures alone.The crowding out effect is 1/5 as strong as the combined effect of government expenditures and taxes on aggregate demand.How much does aggregate demand shift by?
Q13: GDP measured with constant prices is referred
Q36: If peanuts serve as a medium of
Q58: Which of the following events would shift
Q70: The conversion of a barter economy to
Q95: Imagine the U.S.economy is in long-run equilibrium.Then
Q101: Suppose the MPC is 0.60.Assume there are
Q123: A restriction on bank activities that was
Q237: The aggregate-demand curve shows the quantity of
Q321: Which of the following shifts short-run aggregate
Q350: According to liquidity preference theory,if there were