A government expenditure multiplier is larger than the tax multiplier.
<h3>What is
tax multiplier?</h3>
The fiscal multiplier is the ratio of change in national income caused by a change in government spending in economics. The exogenous spending multiplier, in general, is the ratio of change in national revenue caused by any autonomous change in spending.
The tax multiplier is used to calculate the maximum change in spending when the government raises or lowers taxes. This multiplier's formula is -MPC/MPS. Tax multipliers are always fewer than spending multipliers.
The tax multiplier indicates the eventual rise in real GDP that will occur as a result of a tax adjustment. Surprisingly, the tax multiplier is always one less than the spending multiplier.
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Answer:
The correct answer is D: raise spending to stimulate the economy.
Explanation:
I took the Test Review on Edge 2020.
Answer:
A - Selecting the target behavior to reinforce.
Explanation:
The purpose of a token economy is to strenghten desirable behaviors that don't occur often and decrease undesirable ones that do. The first step of this method is to target which behavior to reinforce and which one that should be decreased in a treatment enviroment or educational settings, that is, for adults and other for children.
