The multiplier is the ratio of the
A. change in the equilibrium level of real GDP to the change in autonomous expenditures.
B. change in autonomous expenditures to the change in the equilibrium level of real GDP.
C. change in induced expenditures to the change in autonomous expenditures.
D. equilibrium level of real GDP to the change in induced expenditures.
Answer: A
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A) $14; 300,000 B) $14; 500,000 C) $16; 500,000 D) $16; 300,000 E) $16; 700,000
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