Good day, can someone help me in answering this questions. They are a bit complicated and I would appreciate if you can help me in answering some of this questions. Can I also request, if it's possible to add an explanation too, since I would like to learn..Thank you so much!

Question 1.

If the economy has only consumers and business, if the investment is less than saving, then:

Select the correct response:

a. income does not change

b. income falls

c. there is not enough information to tell

d. income rises

Question 2

The total change in output resulting from an increase in taxes by Php 10 million with an MPC equal to 1/3 is

Select the correct response

a. Php 10M decrease

b. Php 5M increase

c. Php 5M decrease

d. Php 10M increase

Question 3

If the economy's full-employment output is Php 6 trillion, actual output is Php 3.5 trillion, and the budget deficit is Php 20 billion, the deficit in this case is known as a

Select the correct response

a. debt deficit

b. cyclical deficit

c. natural employment deficit

d. structural deficit

Question 4.

Assume that the MPS is 0.25. Increasing government spending by Php 400, equilibrium output _______________ and by increased taxes by Php 400, equilibrium output _____________________

Select the correct response

a. increases by Php 1,600; decreases by Php 1,600

b. increases by Php 400; decreases by Php 400

c. increases by Php 1,600; decreases by Php 1,200

d. increases by Php 1,200; decreases by Php1,600

Question 5

Suppose that taxes depend on income. The MPC is 0.8 and t is 0.25. The government spending multiplier is

Select the correct response

a. 10

b. 5

c. 2.5

d. 1.67

e. 1.82

Question 6

Saving is

Select the correct response

a. all of the above

b. always equal to consumption

c. the sum of the funds people hold in their checking accounts

d. after-tax income that is not spent on consumption

e. equal to disposable income plus consumption.

Question 7

If taxes are Php 200 B. the equilibrium level of output is Php 6,000 B. If taxes increase to Php 300 B., ceteris paribus, the equilibrium level of output falls to Php 5,500 B. The value of the tax multiplier

Select the correct response

a. is -5

b. cannot be determined from this information because the MPC is not given

c. is 5

d. is -5.5