How is the marginal propensity to import calculated? The marginal propensity to import is equal to O A. disposable income minus consumption expenditure minus saving divided by real GDP OB. the change in imports divided by the change in real GDP, other things remaining the same C. imports minus exports OD. the change in net imports divided by the change in disposable income, other things remaining the same
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- What will happen to the net exports of Mexico when there is an increase in income in the United States? Ⓒ Net exports will increase because exports will increase. Net exports will decrease because exports will decrease. ONet exports will decrease because imports decrease. Net exports will increase because imports increase.Which of the following components makes up the largest percentage of GDP measured by aggregate spending? O imports O government purchases of goods and services consumer spending investment spending О ехрortsOne reason for an increase in aggregate demand (AD) on the net exports side is A a rise in the expected rate of return. B a rise in interest rates. C an increase in foreign demand. D an increase in the relative price of U.S. goods.
- . If a U.S. citizen buys a coat made in China, the a. U.S. consumption increases and U.S. net exports decrease, thus, U.S. GDP decreases. b. U.S. consumption increases and U.S. net exports decrease, thus, U.S. GDP is unaffected. c. U.S. consumption decreases and U.S. net exports increase, thus, U.S. GDP increases. d. U.S. consumption decreases and U.S. net exports increase, thus, U.S. GDP is unaffected.In the economy of Talikastan in 2015, exports were $200, GDP was $2000, government purchases were $200, imports were $270, and investment was $500. What was Talikastan's consumption in 2015? O a. $1230 b.$1770 Oc. $1370 d.5830What is the predicted relationship between the value of a country’s imports and its national income? What is the predicted relationship between its trade balance and its national income? Plz do fast .
- Study the scenario and complete the question(s) that follow(s):SilesiaYou are provided with the following information about an imaginary economy called Silesia. Use the information provided in the table to answer the questions below.Government expenditure 400 Exports 250 Autonomous imports 50 Autonomous consumption 150 Investment Expenditure 300 Full- mployment output 2040 Marginal propensity to consume 0.75 Marginal propensity to import 0.15 Tax rate 0.25Source: Bester, N. 2017.5.1 Derive and calculate the consumption function for the data provided. Show all formulas and calculations used. 5.2 Calculate autonomous spending. Show all formulas and calculations used.5.3 Calculate the multiplier. Show all formulas and calculations used. Round off your final answer to 1 decimal.10. The higher the marginal propensity to import, the is the spending multiplier, and the is the fluctuation in the short run GDP. smaller; smaller b. smaller; larger larger; smaller d. larger; larger The fluctuation in short run GDP is not related to the size of the marginal propensity to import. а. С. е.Question 4 If Chinese consumers decrease their demand for apples from New Zealand, then (other things being equal) China's: OA Imports and net exports fall O B. Exports and net exports fall OC Exports fall and net exports rise OD. Imports fall and net exports rise
- If Ford sells 200 Explorers for a total of $400,000 to Germany, while the United States imports 100 BMWS for a total of $500,000 from Germany, a. U.S. net exports is positive. O b. Germany GDP decreases. U.S. GDP increases because it sells more Explorers. d. U.S. GDP decreases because net exports are negative.Ifthe value of a nation's imports exceeds the value of its exports,which of the following is NOT true? a.Net exports are negative. b.GDP is less than the sum of consumption, investment, and government purchases. c.Domestic investment is greater than national saving. d.The nation is experiencing a net outflow of capita1.If the real GDP is 1000 and Investment is 150, Government Spending is 250 and Net Exports equals -100, then Consumption must be?