AP Multipliers
Presentation
•
Social Studies
•
12th Grade
•
Easy
Michelle Thomas
Used 7+ times
FREE Resource
43 Slides • 10 Questions
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Multiple Choice
Which model represents the constant ripple (OR FLOW) of money throughout the economy
Circular Flow
PPC
Business Cycle
Supply & Demand
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Multiple Choice
The Gov’t increases spending by $1 million. Expenditure Multiplier is 10. Aggregate Demand increases by...
$1O million
$1 million
$11 million
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Dropdown
The Gov’t decreases spending by $10 million. The Expenditure Multiplier is 5. Gross Domestic Product
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Fill in the Blanks
Gov’t cuts taxes by $2 M. The Tax Multiplier is 4. GDP (AD) increases by
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Fill in the Blanks
Gov’t raises taxes by $1M. Tax Multiplier is 9.GDP (AD) DECREASES by
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Multiple Choice
Stan gets $500 and spends $100. His MPC is _______________ and his MPS is _______________. (divide the amount spent by the original amount)
MPC= 20%, MPS= 80%
MPC= .80, MPS= .20
MPC= 10%, MPS= 50%
MPC= .50, MPS= .10
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Multiple Choice
Zack gets $1,000 and saves $300. His MPC is _______________ and his MPS is _______________.
MPC= 70%, MPS= 30%
MPC= .30, MPS= .70
MPC= 10%, MPS= 30%
MPC= .20, MPS= .80
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Multiple Choice
Dylan gets $20M and spends $5M. His MPC is _______________ and his MPS is _______________.
MPC= .30, MPS= .70
MPC= 75%, MPS= 25%
MPC= .25, MPS= .75
MPC= 20%, MPS= 5%
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Dropdown
Ecotopia's average MPC is
The Expenditure (SPENDING) multiplier is
The Tax multiplier is
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Dropdown
Last question you should have answered 10 for spending multiplier and 9 for tax multiplier
When the government decreased military spending in 1991, GDP
When the government cut taxes in 1996, AD
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Practice multipliers using the the activity on Schoology
Due Monday
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