55.

If the marginal propensity to consume MPC is 1, the value of the MPS isRequired to answer. Single choice.

zero

5

0.75

56.Consumption Function is also known as.....Required to answer. Single choice.

Propensity to save

Propensity to consume

multiplier

57.If the price level of goods doubledRequired to answer. Single choice.

none of these answers

the quantity demanded of money falls by half

the value of money has been cut by half

58.Suppose the economy is operating in a recession. If policymakers wished to move output to its long-run natural rate, they should attempt toRequired to answer. Single choice.

shift short-run aggregate supply to the left

shift aggregate demand to the right

shift aggregate demand to the left

59.

Used goods are not included in the ______________Required to answer. Single choice.

calculation of GNP

calculation of GDP

60.

When the economy is experiencing an expansionary gap, the cyclical rate of unemployment is negativeRequired to answer. Single choice.

True

False