Advanced Placement (AP) College

If Investment expenditures increase by $300B and MPC is equal to 0.90, what will be the increase in real GDP?

Answers

Answer 1

Answer: 3000B

Explanation:

Firstly, we calculate the spending multiplier which will be:

= 1 / (1 -MPC).

= 1 / ( 1 - 0.9)

= 1 / 0.1

= 10

The increase in the real GDP will then be gotten by multiplying the multiplier by the increase on investment. This will be:

= 10 × 300

= 3000B

Related Questions

For the following reaction, K > 1. Classify each of the reactants and products based on their strength as Bronsted-Lowry acids or bases.

(C2H5)3N + HC9H7O4 —> C9H7O4- + (C2H5)3NH+

Answers

(C2h5) k shauqin aaeene she

What are communities that people had traditionally been a part of with lifelong emotional ties?
Communities of memory
Communities of emotion
Familial communities
O Communities of bond

Answers

Answer:

Communities of memory

Explanation:

Communities of memory are communities in which people had traditionally been a part of with lifelong emotional ties.

Therefore, the correct answer to the question is option A.

left twix or right twix?

Answers

Answer: Left Twix are so much better than the right ones

Explanation:

How do I ask questions

Answers

To the public on here or in public. But just ask questions
Go to ask and either take a picture or type if it’s not there click the plus and type in the question or picture click the subject and click the points your willing to give to people who answer your question

A place where you brush your teeth with a toothbrush after eating food.

Answers

Answer:

I think its bathroom where we brush our teeth with a toothbrush after eating food .

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