The Spending Multiplier Is the Ratio of the Change in Real

question 20

Multiple Choice

The spending multiplier is the ratio of the change in real GDP to

• A)a shift in the expenditure line.
• B)a movement along the expenditure line.
• C)a shift in the 45-degree line.
• D)a change in marginal propensity to consume.
• E)a change in potential GDP.

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Definitions:

Consumer Ethics

Refers to the moral principles that guide consumers in their purchase decisions, considering the impact on society, environment, and economy.

Online Auction Fraud

A type of scam where fraudsters manipulate the bidding process in online auctions to deceive buyers or sellers, often involving fake listings or payment schemes.

Loss Prevention

Strategies and actions implemented by businesses to prevent theft, fraud, and other losses that can result in decreased revenue.

Unethical Consumer Behavior

Actions by consumers that are deemed morally wrong, such as fraud, theft, or deceit in the consumption or acquisition of goods and services.