Consider a Simple Macro Model with a Constant Price Level

question 146

Multiple Choice

Consider a simple macro model with a constant price level and demand-determined output.If the marginal propensity to spend is 0.9,the simple multiplier is

• A)0.1.
• B)0.9.
• C)1.0.
• D)1.1.
• E)10.0.

---

Definitions:

Green

Often associated with environmental sustainability, the color green symbolizes growth, harmony, and freshness, and is linked with initiatives to protect the natural environment.

Blue

A primary color in the spectrum lying between green and violet, often associated with depth and stability, and representing qualities like trust, loyalty, wisdom, and confidence.

Primary Colors

A group of colors from which all other colors can be obtained through mixing.

Basic Hues

The primary colors from which all other colors can be generated or mixed, typically considered to be red, blue, yellow, and sometimes green.