2.  

27. What change in investment expenditures (I) is required to bridge Kappa’s current recessionary gap of $200?

    a) an increase of $30 b) a decrease of $30 c) an increase of $40 d) a decrease of $40.

29. What change in the rate of interest (i) is required to generate the change in investment expenditures ?
     a) an increase of 2 percentage points b) a decrease of 2 percentage points c) an increase of 4 percentage points d) a decrease of 4 percentage points.

31. What change in the money supply is required to generate the change in the rate of interest ?

     

    a) an increase of $20 b) a decrease of $20 c) an increase of $30 d) a decrease of $30.

Answer rating: 100% (QA)

Question 26 Change in Investment Expenditures To bridge the 200 recessionary gap we need to calculat... View the full answer