In a Simple Economy in Which Prices Are Constant and with No

question 65

Multiple Choice

In a simple economy in which prices are constant and with no income taxes or imports, the marginal propensity to save is 0.2. If exports increase $50, what impact will that have on aggregate expenditure?

• A) increase by $250
• B) decrease by $250
• C) decrease by $100
• D) increase by $100

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Definitions:

Disorganized Schizophrenic

A subtype of schizophrenia characterized by disorganized speech, behavior, and flat or inappropriate affect.

Undifferentiated Schizophrenic

A category of schizophrenia where symptoms do not clearly fit the criteria for other subtypes, showcasing a mix of features.

Paranoid Schizophrenic

A subtype of schizophrenia where the individual experiences delusions of persecution or grandeur, often accompanied by auditory hallucinations.

Psychotic Disorder

A mental disorder characterized by a disconnection from reality, often manifesting through delusions, hallucinations, and severely disordered thinking and behavior.