Unformatted text preview: G and T will cause: 12) ______ 9) _______ 10) ______ 11) ______ 13) ______ A) o change in output. n C) reduction in output. a B) n increase in output. a D) n increase in investment. a 14) hen calculating fixed investment spending (I), which of the following expenditures would not W be included? A) ell computer buys a new robot for its assembly line. D A B) n individual buys a newly built home. C) local auto dealer increases its inventories of unsold automobiles. A D) ord Motor Company builds a new factory. F E) ll of the above a 15) ased on our understanding of the model presented in Chapter 3, we know with certainty that B an equal and simultaneous increase in G and T will cause: A) o change in output. n B) reduction in output. a C) n increase in investment. a D) n increase in output. a 16) hich of the following equals demand in an open economy? W B) + I + G C A) + I + G + IM - X...
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- Spring '08
- marginal propensity, autonomous consumption, ZZ line