In the Keynesian model, an increase in real autonomous spending results in a gre
ID: 1152938 • Letter: I
Question
In the Keynesian model, an increase in real autonomous spending results in a greater increase in real Gross Domestic Product (GDP) if
the marginal propensity to consume (MPC) is higher.
the average propensity to save (APS) is higher.
the marginal propensity to consume (MPC) is lower.
the average propensity to save (APS) is lower.
0.42 points
QUESTION 2
0.7
0.09
0.91
1.1
0.42 points
QUESTION 3
According to Keynes, the most important determinant of an individual's real saving is
the foreign exchange rate.
interest rates.
the individual's real disposable income.
the level of investment.
0.42 points
QUESTION 4
Planned consumption and planned saving.
Planned saving only.
Taxes, government spending, and saving.
Planned investment, net exports, and government spending.
0.42 points
QUESTION 5
It is conceivable that the APC, APS, MPC, and MPS could simultaneously be
APC = 1.0; APS = 0; MPC = 1.0; MPS = 0.15.
APC = 0.8; APS = 0.2; MPC = 1.1; MPS = 0.1.
APC = 1.3; APS = -0.3; MPC = 0.9; MPS = 0.1.
APC = 1.0; APS = 0.1; MPC = 0.8; MPS = 0.25.
0.42 points
QUESTION 6
Saving is
the accumulation of past periods of savings while savings is the amount of disposable income that is not consumed in a given period of time.
the difference between disposable income and spending on goods and services while savings is the difference between real GDP and disposable income.
the difference between real GDP and disposable income while savings is the difference between disposable income and consumption spending.
the amount one does not consume in a given period of time while savings is the accumulation of past periods of saving.
0.42 points
QUESTION 7
Which of the following is correct?
1 - MPC = MPS
1 - MPS = MPC + 1
1 - MPS = MPC - 1
1 + MPS = MPC
0.42 points
QUESTION 8
negative saving.
autonomous consumption.
positive saving.
zero saving.
0.42 points
QUESTION 9
The relationship between households' planned consumption expenditures and households' level of disposable real income is called
the consumption function.
the household aggregate demand function.
the investment function.
the savings function.
0.42 points
QUESTION 10
In the consumption function model, the 45-degree line represents where
the real disposable income is equal to zero.
planned real consumption spending is equal to zero.
planned real saving is equal to zero.
planned real saving is greater than actual real savings.
0.42 points
QUESTION 11
If the marginal propensity to consume (MPC) is 0.75 and government purchases increase by $200 billion, then
equilibrium real Gross Domestic Product (GDP) will increase by $50 billion.
the effect on equilibrium real Gross Domestic Product (GDP) cannot be determined from the given information.
equilibrium real Gross Domestic Product (GDP) will increase by $800 billion.
equilibrium real Gross Domestic Product (GDP) will increase by $200 billion.
0.42 points
QUESTION 12
If saving equals $200 when real disposable income equals $1,000, the break-even income is
less than $1,000.
equal to $1,200.
greater than $1,000.
equal to $1,000.
0.42 points
QUESTION 13
S = -40 + 0.67Yd.
S = 40 - 0.67Yd.
S = 40 + 0.33Yd.
S = -40 - 0.33Yd.
0.42 points
QUESTION 14
zero saving.
autonomous consumption.
positive saving.
negative consumption.
0.42 points
QUESTION 15
to the left of point B.
only at point B.
to the right of point B.
only at point A.
the marginal propensity to consume (MPC) is higher.
the average propensity to save (APS) is higher.
the marginal propensity to consume (MPC) is lower.
the average propensity to save (APS) is lower.
Explanation / Answer
Answer1:
Option 1st the marginal propensity consume (MPC) is higher
Correct answer.
According to chegg policy 1 question is done .
Please rate me if you have any doubt then let me know.
Thanks!