If the multiplier in an economy is 5, a $20 billion increase in net exports will. make sure the answer is accurate.Group of answer choices decrease GDP by $100 billion. increase GDP by $20 billion. increase GDP by $100 billion. reduce GDP by $4 billion.
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If the multiplier in an economy is 5, a $20 billion increase in net exports will. make sure the answer is accurate.
Group of answer choices
decrease
increase GDP by $20 billion.
increase GDP by $100 billion.
reduce GDP by $4 billion.
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- In the income multiplier is equal to 4, then a $25 initial increase in government spending leads to a Question 22 options: a) $6.25 increase in natinal income b) $25 increase in national income c) $6.25 increase in real GDP d) $100 increase in national incomeThe ratio of the change in GDP to an initialchange in aggregate expenditures (AE) is thea. spending multiplier.b. permanent income rate.c. marginal expenditure rate.d. marginal propensity to consume.In Russia, the value of multiplier is 7 Calculate the value of MPS
- Calculate MPC when a change in investment spending of 40 million leads to an increase in real GDP by 160 million.An economy has neither imports nor income taxes. The MPC is 0.75 and the real GDP is $120 billion. The government increases expenditures by $4 billion. The multiplier is _____ and the change in real GDP from the increase in government expenditures is _____ billion.If the spending multiplier is 10, a S100 increase in government spending and Sl00 increase in taxes, will cause a inerease in GDP by 0 100 900 $1,000
- Calculate the net cumulative change in the aggregate expenditure if taxes were cut by $200 billion and MPC is estimated to be .75. What if government expenditure was increased by $200 billion?Find the value of change in investment if the value of multiplier is 5 and the change in national income is $1000 millionWhich of the following statements is most accurate? a.Most of the variation in consumption spending can be explained by changes in debt b. There is no single factor that explains much of the variation in consumption spending c. Most of the variation in consumption spending can be explained by changes in the interest rate. d. Most of the variation in consumption spending can be explained by changes in wealth e. most of the variation in consumption spending can be explained by changes in disposable income.
