3. Macroeconomics
The Keynesian Multiplier — Quiz
Test your understanding of the keynesian multiplier with 5 practice questions.
Practice Questions
Question 1
What does the Keynesian multiplier measure in macroeconomics?
Question 2
Which formula is commonly used for the simple Keynesian multiplier when there are no taxes or imports?
Question 3
If $MPC = 0.8$, what is the value of the simple Keynesian multiplier?
Question 4
Which of the following is the best example of an autonomous injection into the circular flow of income?
Question 5
If a $\$10 million increase in investment leads to a $\$50 million increase in equilibrium national income, what is the multiplier?