1022B - Chapter 11
Authored by Phuong Vu
Social Studies
University
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5 questions
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1.
MULTIPLE CHOICE QUESTION
1 min • 1 pt
Which components of aggregate expenditure are influenced by real GDP?
Consumption expenditure, investment, and imports
Investment, exports, and imports
Consumption expenditure and imports
Consumption expenditure, government expenditure, investment, and imports
2.
FILL IN THE BLANK QUESTION
2 mins • 1 pt
The figure illustrates the components of aggregate planned expenditure on Fish Island. The Island has no imports or exports, no income taxes, and the price level is fixed.
The marginal propensity to consume is:
3.
MULTIPLE CHOICE QUESTION
45 sec • 1 pt
Fluctuations in autonomous expenditure bring equal fluctuations in real GDP.
TRUE
FALSE
4.
MULTIPLE CHOICE QUESTION
1 min • 1 pt
A fall in the price level...
shifts the AD curve rightward and brings a movement up along the AE curve
shifts the AD curve leftward and brings a movement down along the AE curve
shifts the AE curve upward and brings a movement down along the AD curve
shifts the AE curve downward and brings a movement up along the AD curve
5.
FILL IN THE BLANK QUESTION
2 mins • 1 pt
The graph shows an economy that has no taxes or imports. AD0 is the aggregate demand curve when investment is $1.0 trillion, and AD1 is the aggregate demand curve when investment is $1.5 trillion.
What is the size of the multiplier in the short run?
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