Consider the Simplest Macro Model in Which Aggregate Output Is

question 140

Multiple Choice

Consider the simplest macro model in which aggregate output is demand-determined.If autonomous consumption increases by $2 billion causing equilibrium national income to rise by $6 billion,the marginal propensity to spend must be

• A)1.0.
• B)0.5.
• C)0.2.
• D)0.67.
• E)3.0.

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Productivity

The efficiency with which an individual, organization, or economy converts inputs into useful outputs.

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The process of purchasing goods or services over the internet.

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A natural and periodic state of rest during which consciousness of the world is suspended and the body's metabolic functions slow down.

Procrastination

The action of delaying or postponing tasks or decisions, often habitually.