Suppose Lower Interest Rates Suddenly Lead to an Injection of $325

question 83

Multiple Choice

Suppose lower interest rates suddenly lead to an injection of $325 additional investment spending into the economy and the marginal propensity to consume is 0.80. Table 10.1
$\begin{array}{c}\begin{array}{|l|}\hline\\ \text {Spending Cycles}\\\hline \text {First-cycle}\\\text {spending}\\\hline \text {Second-cycle}\\\text {spending}\\\hline \text {Third-cycle}\\\text {spending}\\\hline \end{array}\begin{array}{c|}\hline \text {Change in this Cycle's Spending}\\\text { and Income}\\\hline\\\quad\quad\quad\quad\quad\quad\quad\quad \$ 325 \\\hline\\\\\hline\\\\\hline\end{array}\begin{array}{c|}\hline \text {Cumulative Increase in Spending}\\ \text {and Income}\\\hline\\\quad\quad\quad\quad\quad\quad\quad\quad \$325\\\hline\\\\\hline\\\\\hline\end{array}\end{array}$
In Table 10.1,what is the change in the third cycle of spending resulting from the higher initial investment?

• A)$50.
• B)$208.
• C)$325.
• D)$585.

Explain the role of self-actualization in personal and professional development.

Apply motivational theories to understand the behavior of individuals in organizational contexts.

Understand the different motivational theories, including those by McClelland, Herzberg, Skinner, Vroom, and Maslow.

Identify and differentiate between hygiene factors and motivating factors in Herzberg's two-factor theory.

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