Assume That Initially G Is $100 and Equilibrium Real GDP

question 32

Multiple Choice

Assume that initially G is $100 and equilibrium real GDP demanded is $1,000.If the multiplier is 4 and G increases to $200,real GDP demanded will increase

• A)by $100
• B)by $2,000
• C)by $1,000
• D)to $1,400
• E)to $2,000

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Definitions:

Second-Generation Antidepressants

A class of antidepressant drugs developed more recently than the first-generation antidepressants, including Selective Serotonin Reuptake Inhibitors (SSRIs) and others, often with fewer side effects.

MAO

Monoamine oxidase, an enzyme that breaks down neurotransmitters in the brain and is targeted by certain kinds of antidepressant drugs.

Reuptake Process

A neurological mechanism in which neurotransmitters released into the synapse are reabsorbed back into the presynaptic neuron, stopping their action on the postsynaptic neuron.

Serotonin

A neurotransmitter involved in regulating mood, anxiety, and other functions within the brain, often targeted in the treatment of depression and anxiety disorders.