Macroeconomics Quiz 3
[Picture] Refer to the above diagram for a private closed economy. The equilibrium level of GDP is:
$300.
[Picture] In the above diagram, the economy's short-run aggregate supply curve is shown by line:
*NOT* 3 OR 4
Answer the question on the basis of the following data for a private closed economy. [Picture] Refer to the above data. At the $370 billion level of DI the APS is approximately:
.04
If the marginal propensity to consume is 0.9, then the marginal propensity to save must be:
0.1
Answer the question on the basis of the following data for a private closed economy. [Picture] Refer to the above data. The MPS is:
3/10.
[Picture] An decrease in aggregate demand is illustrated by a movement from:
AD2 to AD1.
John Maynard Keynes created the aggregate expenditures model based primarily on what historical event?
Great Depression
The 45-degree line on a graph relating consumption and income shows:
all the points at which consumption and income are equal.
A decrease in the short-run aggregate supply curve is represented as a shift ________.
leftward.
[Picture] In the above diagram, a shift from AS3 to AS2 might be caused by an increase in:
productivity.