Economists define the change in national income that is generated by a change in investment as
a. the marginal propensity to invest
b. the investment multiplier
c. the saving multiplier
d. the income multiplier
e. autonomous investment
D
Economics
You might also like to view...
List four protectionist policies
What will be an ideal response?
Economics
Refer to Figure 12-5. The figure shows the cost structure of a firm in a perfectly competitive market. If the firm's fixed cost increases by $1,000 due to a new environmental regulation, what happens to its profit-maximizing output level?
A) It remains the same. B) It decreases. C) It increases. D) It could increase, decrease, or remain constant, depending on whether the firm is able to cut costs somewhere else.
Economics