The multiplier:
A)occurs only in response to a change in the level of investment spending.
B)can be found by taking the reciprocal of the MPS.
C)occurs only when intended investment increases as GDP increases.
D)is measured by the slope of the saving schedule.
Answer:B
The multiplier:
A)occurs only in response to a change in the level of investment spending. B)can be found by taking the reciprocal of the MPS. C)occurs only when intended investment increases as GDP increases. D)is measured by the slope of the saving schedule.