The larger the marginal propensity to save,
A) the smaller the multiplier.
B) the larger the multiplier.
C) the smaller the change in Real GDP, given a change in autonomous consumption.
D) a and c
E) none of the above
D
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If there are diseconomies of scale within a given range of output, which of following is(are) TRUE?
A) The short-run average cost curve must be upward sloping within that range of output. B) The long-run average cost curve must be upward sloping within that range of output. C) Long-run average cost must equal short-run average cost. D) All of the above.
Which of the following would be expected if the tariff on foreign-produced automobiles was increased? a. The domestic price of automobiles would fall
b. The supply of foreign automobiles to the domestic market would be reduced, causing auto prices to rise. c. The number of unemployed workers in the domestic automobile industry would rise. d. The demand for foreign-produced automobiles would increase, causing the price of automobiles to increase in other nations.