Macroeconomics

Suppose the multiplier has a value that exceeds 1 and there are no crowding out or investment accelerator

Question

Suppose the multiplier has a value that exceeds 1, and there are no crowding out or investment accelerator

effects. Which of the following would shift aggregate demand to the right by more than the increase in expenditures?

Select one:

a. an increase in government expenditures
Macroeconomics

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