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Explain the basic idea of the expenditure multiplier and the role consumers' play.
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- Which of the following will raise consumer expenditures, C? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a b с d a general increase in housing prices. an increase in interest rates. an increase in expected future income. an increase in the price level.Chapter 14 Explain the basic idea of the expenditure multiplier and the role consumers play.Explain the concept of the 100X Multiplier using the idea of diminishing marginal utility.
- My friend Marie decides to set aside $200 from her paycheck every month. How will this affect her demand curve? (You don't have to use specific numbers, just explain) When Marie sets aside money from her paycheck, this is the same thing as a decrease in her income. Remember that when income increases, the demand curve shifts outwards to reflect the increase in spending. In this case, Marie's demand curve will shift inwards as she tries to economize more than usual. She will buy fewer goods, even if the prices don't change. Illustrate in graphCreate a speech about the relationship of income, saving and consumption to price changes in shopping.How does an increase in tax influence the size of the multiplier
- Jhon was given a $2000 stimulus check. He will spend 75% of his money(which is 1500$). The next person will spend 75% of the 1500$ and so on and so forth. 1)How much total expenditure will result from the 2000$ stim check? 2)calculate the value of the multiplier.Solve for (i) Equilibrium income and (ii) Income-expenditure multiplier for GPlease explain three perspectives related to the consumption.