Posted by **Salman** on Wednesday, March 17, 2010 at 5:45pm.

If investment is dependent on income in addition to interest rate (assuming C and G have usual forms) then the Keynesian multiplier will

A. Not Exist

B. Equal to as compared to the case where investment is not dependent on Y

C. Smaller as compared to the case where investment is not dependent on Y

D. Larger as compared to the case where investment is not dependent on Y

## Answer This Question

## Related Questions

- economics - Question 4 (1.00 points) The multiplier effect indicates that: a. a ...
- economics - Suppose that the consumption function is C=100+.8(y-t). Initially ...
- MACRO 2 ECON - 2.4 (Investment and the Multiplier) This chapter assumes that ...
- Economics - A decrease in the income tax rate _Increases_____ the value of the ...
- algebra - Sam invested $2150, part of it at 6% and the rest at 8% yearly ...
- investment - A certain amount of money is invested at 6% per year. A second ...
- investment - A certain amount of money is invested at 6% per year. A second ...
- economics - With proportional income tax, a. The tax multiplier equals (MPC)(1-...
- Public Finance - Suppose the corporate income tax were eliminated and corporate ...
- math - Mr Joyce invested $ 25,000, part at 4% interest and the remainder at 7% ...

More Related Questions