Really great job. Thank you so much. I really love it. Thank you so much for all of your help.
8. A reasonable investor will make an investment if the expected rate of return equals
A. his or her marginal propensity to save. B. the real interest rate. C. the nominal interest rate. D. the inflation rate.
9. A high multiplier means that the initial change in spending is _______ relative to the change in real GDP.
A. high B. approximately equal C. low D. unrelated
10. At equilibrium GDP
A. inflation equals total expenditures. B. the increase in aggregate expenditure is equivalent to the real interest rate. C. the total quantity of goods produced exceeds net exports. D. the total quantity of goods produced equals the total quantity of goods purchased.
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