Which of the Following Statements Is True

question 283

Multiple Choice

Which of the following statements is true?

• A) The larger a nation's marginal propensity to consume, the larger the open-economy multiplier.
• B) The larger a nation's marginal propensity to import, the larger the open-economy multiplier.
• C) The smaller a nation's marginal propensity to export, the larger the open-economy multiplier.
• D) The smaller a nation's marginal propensity to save, the smaller the open-economy multiplier.

---

Definitions:

Understand Messages

The process by which an individual comprehends the meaning and intent of communicated information.

Eliminate Conflict

The process of resolving disagreements or disputes to achieve harmony in a relationship or environment.

Opposing Views

Differing opinions or perspectives on a particular issue, highlighting the variety and conflict in viewpoints.

Active Listening

The practice of paying full attention, understanding, responding to, and remembering what is being said.