The smaller the MPC:
a. the smaller the fraction of an increase in AD due to an increase in government purchases that is consumption.
b. the greater the fraction of an increase in AD due to an increase in government purchases that is consumption.
c. the greater the change in government purchases required to achieve a given change in AD

The quantity theory of money:

A) assumes that the ratio of money supply to nominal GDP decreases over time. B) assumes that the ratio of money supply to nominal GDP increases over time. C) is a representation of how a change in money supply affects the price level in an economy. D) is an exact representation of how the economy behaves in the long-run.

The three central questions for efficient organizational design include all EXCEPT a. does the decision maker have the relevant information?

b. is the decision maker in a supervisory role? c. who is making the decision? d. does the decision maker have an incentive to make a good decision?