question no.1?2and 3 please question no.1?2and 3 please 20(2).pd \" Part I - Mul

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question no.1?2and 3 please

question no.1?2and 3 please 20(2).pd " Part I - Multiple Choice Questions (Total Point: 10) Use the ZEUS form to answer the multiple choice questions. 1. If the number of people in the labor force a. decreases; the unemployment rate does not change b. decreases; the unemployment rate definitely decreases c. decreases; the labor force participation rate increases d. increases; the unemployment rate definitely increases e. increases; the labor force participation rate increases ,then 2. Which of the following statement is NOT true? a. The 45 degree line illustrates all possible macroeconomic equilibrium. b. The sum of marginal propensity to save and marginal propensity to consume equals one. The relationship between consumption spending and disposable income is illustrated by the consumption d. e. The marginal propensity to save is always greater than the marginal propensity to consume. The increase in equilibrium real GDP is always greater than the autonomous expenditure. 3. Which of the follow equation is correct assuming a closed economy? and GDP and total

Explanation / Answer

1. If the number of people in the labor force Increases , then the labor force participate rate increases.

Answer: e

2. Which of the following is NOT true?

Answer: d- The marginal propensity to save is always greater than marginal propensity to consume

3. which of the following equation is correct assuming a closed economy?.

Answer: b- S = Y - C - G

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