In Preparing Their Estimates of the Stimulus Package's Effect on GDP,Obama

question 214

Multiple Choice

In preparing their estimates of the stimulus package's effect on GDP,Obama administration economists estimated a government purchases multiplier of 1.57.This indicates that a ________ increase in government purchases would increase equilibrium real GDP by $157 billion

• A)$1 billion
• B)$10 billion
• C)$100 billion
• D)$157 billion

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Definitions:

Patriotic Feelings

A sense of national pride and loyalty towards one's country.

Union and Confederacy

Terms associated with the American Civil War, with the Union referring to the northern states that opposed slavery, and the Confederacy to the southern states that seceded to preserve it.

Second American Revolution

The transformation of American government and society brought about by the Civil War.

Bill of Rights

The first ten amendments to the United States Constitution, guaranteeing certain rights and freedoms to American citizens.