solizpaco30 solizpaco30
  • 07-11-2017
  • Business
contestada

An increase in government purchases shifts the aggregate demand curve to the right by an amount equal to

Respuesta :

Kalahira
Kalahira Kalahira
  • 18-11-2017
The shift will be equal to the increase in the amount multiplied by the spending multiplier. This multiplier is found by dividing (1 / marginal propensity to consume). The MPC is the value that shows how much of the new money injected into the economy will be spent by consumers and, thus, is the basis for the multiplier.
Answer Link

Otras preguntas

What services provided by government are basically reserved to the states?
Passive is to change active is to
All of the following are type of diabetes except A. gestational B.type 1 C.type3 D. type 2
there are 42 roses in a garden diane picks 7 roses for each bouquet of flowers how many bouquets can she make.? how many more bouquets can diane make if she use
Find the exact value. If the expression is undefined, write undefined. csc 135° 0 undefined one-half Sqaure root two
Find the general solution for differential equation (D4 - 5D3 + 5D2 + 5D - 6)y = 0
One reason Virgil is qualified to guide Dante on his decent through hell is because he... a) had described Aeneas' journey to the underworld b) is a pagan c)
The height of a sinusoidal wave is called its a. phase. b. amplitude. c. period. d. frequency.
Fugitive slaves traveled to Pennsylvania using all of the following methods except
The mathematical chance that something will happen is known as