The Expenditure Multiplier Equals

question 56

Multiple Choice

The expenditure multiplier equals

• A)APC - APS where APC is the average propensity to consume and APS is the average propensity to save.
• B)1/(slope of AE curve).
• C)MPC - MPS where MPC is the marginal propensity to consume and MPS is the marginal propensity to save.
• D)1/(1 - slope of AE curve).

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Definitions:

Empathic Communication

An approach to communication that involves understanding and expressing genuine concern for the feelings and perspectives of others.

Sympathetic Responding

Demonstrating compassion and understanding towards others' feelings or situations without necessarily sharing their emotional experience.

Assertive Responding

The ability to express one's feelings, wishes, and rights in a direct, honest, and respectful way.

Self-disclosure Statements

Expressions in which an individual reveals personal information, thoughts, or feelings to others.