An Increase in the Propensity to Save from 0

question 4

Multiple Choice

An increase in the propensity to save from 0.36 to 0.56 will cause:

• A) the ZZ line to become flatter and a given change in autonomous spending (c0) to have a smaller effect on output.
• B) the ZZ line to become steeper and a given change in autonomous spending (c0) to have a smaller effect on output.
• C) the ZZ line to become flatter and a given change in autonomous spending (c0) to have a larger effect on output.
• D) the ZZ line to become steeper and a given change in autonomous spending (c0) to have a larger effect on output.
• E) the ZZ line to become flatter and a given change in autonomous spending (c0) to have no effect on output.

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Definitions:

Social Performance

A measure of an organization's ability to manage its societal impacts, responsibilities, and contributions positively.

Overall Economy

The aggregate performance and structure of a country's or region's economy, considering factors such as GDP, unemployment rates, and inflation.

Employment Opportunities

Available job positions or careers within various organizations that potential employees can apply for.

Federal Trade Commission

A United States regulatory agency tasked with protecting consumers and maintaining competition among businesses.