The multiplier is useful in determining the:

A. full-employment unemployment rate.
B. level of business inventories.
C. change in the rate of inflation from a change in the interest rate.
D. change in GDP resulting from a change in spending.

D. change in GDP resulting from a change in spending.

Economics

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The price level is held constant when moving along the planned expenditures curve

Indicate whether the statement is true or false

Economics

The marginal propensity to consume explains how much of the next dollar of disposable income

A) a household will spend. B) a business will invest. C) the government will spend. D) foreign residents will use to purchase domestic exports.

Economics