Top Posters
Since Sunday
w
5
a
3
j
2
a
2
t
2
u
2
r
2
j
2
j
2
l
2
d
2
y
2
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
Scribs Scribs
wrote...
Go to Answer
Posts: 1074
Rep: 0 0
7 years ago
Assume that all taxes are lump-sum, net exports = 0, and the marginal propensity to consume is 0.8. Then, if investment and taxes were each to fall by $100 million, the equilibrium level of income would
A) rise by $100 million.
B) fall by $100 million.
C) rise by $500 million.
D) fall by $500 million.
Textbook 
Macroeconomics

Macroeconomics


Edition: 12th
Author:
Read 79 times
1 Reply
Replies
Answer verified by a subject expert
thecromthecrom
wrote...
#1
Top Poster
Posts: 1026
Rep: 13 0
7 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

Scribs Author
wrote...

7 years ago
Thanks
homework1
wrote...

Yesterday
Helped a lot
hmonier
wrote...

2 hours ago
Correct Slight Smile TY
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1070 People Browsing
 134 Signed Up Today
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 3450
  
 206
  
 274
Your Opinion
Where do you get your textbooks?
Votes: 447
Previous poll results: What's your favorite math subject?