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Need some help with these homework questions, thanks! Question 3 4 pts When an economy is operating well below its full-employment capacity and the marginal
Need some help with these homework questions, thanks!
Question 3 4 pts When an economy is operating well below its full-employment capacity and the marginal propensity to consume is 0.75, a $10 billion increase in investment spending will cause the equilibrium output to rise by: O $20 billion. O $5 billion. O $10 billion. O $40 billion. Question 4 4 pts What is the difference between the federal budget deficit and the national debt? O This is a trick question because there is no difference between the budget deficit and the national debt. O The national debt includes all outstanding bonds, while the budget deficit excludes bonds held by government agencies. O The budget deficit is the amount by which expenditures exceed revenues in a particular year, while the national debt is the cumulative effect of all past budget deficits and surpluses. O The budget deficit is the cumulative effect of all prior national debtsStep by Step Solution
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