Label the following statement as True', False', or 'Uncertain', and explain your answer fully: "For an economy that has a large share of credit-constrained households, any change in autonomous expenditure, ceteris paribus, will lead to a very smal response in terms of real GDP."
Label the following statement as True', False', or 'Uncertain', and explain your answer fully: "For an economy that has a large share of credit-constrained households, any change in autonomous expenditure, ceteris paribus, will lead to a very smal response in terms of real GDP."
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![Label the following statement as True', False', or 'Uncertain', and explain your answer fully:
"For an economy that has a large share of credit-constrained households, any change in autonomous expenditure, ceteris paribus, wil lead to a very small
response in terms of real GDP."](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F66921c08-4913-4423-b7d8-80e4b57eed77%2F19c50038-9f42-4762-894a-8a340fa326da%2Fq4f6so_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Label the following statement as True', False', or 'Uncertain', and explain your answer fully:
"For an economy that has a large share of credit-constrained households, any change in autonomous expenditure, ceteris paribus, wil lead to a very small
response in terms of real GDP."
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