Refer to the Following Figure to Answer the Following Questions

question 161

Multiple Choice

Refer to the following figure to answer the following questions.
-According to the figure,if the government increases spending by only $4 billion in an effort to shift aggregate demand enough to return to long-run equilibrium,the marginal propensity to consume must be equal to

• A) 0.75.
• B) 0.8.
• C) 1.33.
• D) 1.57.
• E) 0.6.

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Definitions:

Population Mean

The average of all the data points in a population.

Simple Random Samples

A sampling method in which every individual or item from a population has an equal chance of being selected.

Population Size

The total number of individuals or elements that make up the population being studied or analyzed.

First Selection

The initial choice or decision made from a set of options or alternatives.