Suppose economists observe that an increase in government spending of $12 billion raises the total demand for goods and services by $48 billion. If these economists ignore the possibility of crowding out, they would estimate the marginal propensity to consume (MPC) to be ___.
a.) 1/4
b.) 3/4
c.) 4

Now suppose the economists allow for crowding out.
Their new estimate of the MPC would be___than their initial one.
a.) smaller
b.) larger

PLEASE HELP, I NEED TO GET THIS RIGHT.

The interaction of individual choices because a type of fish is on the verge of extinction, the government imposes rules that prohibit fishing in the publicly owned spawning grounds. at first owners of fshing bouts complain about this restriction on where they can fish, but soon they notice that the number of adult fish swimming outside the protected area is much higher than it was before. with the restriction, each fishing boat ends up catching more fish than it did before the r which of the following principles of economic interaction best describes this scenario? o there is a tradeoff between equality and efficiency o markets usually lead to efficiency. o when markets do not achieve efficiency,government intervention can improve overall welfare o markets allocate goodseffectively