In the Simple Aggregate Expenditure Model Where All Components of Aggregate

question 109

Multiple Choice

In the simple aggregate expenditure model where all components of aggregate expenditure are autonomous except consumption, what is the value of the multiplier if the marginal propensity to save is 0.1?

• A) 1
• B) 4
• C) 5
• D) 10

---

Definitions:

Host Cultures

The local culture, society, or community in which an individual or group from another culture comes to live, work, or study, influencing their acculturation process.

Cultural Analysis

The practice of examining the cultural characteristics of a society or social group to understand their customs, practices, and belief systems.

Observable Culture

Observable culture encompasses the visible elements of an organization's culture, such as behaviors, language, symbols, and rituals, that can be directly perceived by others.

Shared Values

Core beliefs or principles that are held in common by members of a group or organization, contributing to its culture and decision-making.