Answered: If investment increases by $300 and, in…

If investment increases by $300 and, in response, equilibirum real GDP increases by $600, the multiplier is A 0.2 B 0.5 5.0 2.0

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

If investment increases by $300 and, in response, equilibirum real GDP increases by $600, the
multiplier is
0.2
B 0.5
C 5.0
2.0

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