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The multiplier shows the relationship between changes in a c…

The multiplier shows the relationship between changes in a component of spending, say, investment, and the resulting changes in real income and output.

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Both leakages and injections to GDP can occur at the same ti…

Both leakages and injections to GDP can occur at the same time.

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Dissaving occurs where:

Dissaving occurs where:

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The multiplier effect means that:

The multiplier effect means that:

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1 – MPC = MPS.

1 – MPC = MPS.

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If Ben’s MPC is .80, this means that he will:

If Ben’s MPC is .80, this means that he will:

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Other things equal, if a change in the tastes of American co…

Other things equal, if a change in the tastes of American consumers causes them to purchase more foreign goods at each level of U.S. GDP:

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  __________ occurs when a dominant firm sets its price to m…

  __________ occurs when a dominant firm sets its price to maximize its profits and the smaller firms in the industry follow by setting their prices to match the dominant firm.  

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  The gap between the actual quantity produced by a monopoli…

  The gap between the actual quantity produced by a monopolistically competitive firm and the optimal quantity in a competitive market is known as  

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A _____ is a small pouch, or sac, found in the lining, or wa…

A _____ is a small pouch, or sac, found in the lining, or wall, of a tubular organ such as the colon.​

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