Say That the Value of the Marginal Propensity to Consume

question 53

Multiple Choice

Say that the value of the marginal propensity to consume is 0.9.In this case,people are saving ________ percent of their incomes and the value of the spending multiplier is ________.

• A) 10; 10
• B) 0.1; 10
• C) 10; 1.1
• D) 10; 9
• E) 0.1; 9

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Definitions:

Research Methods

Systematic techniques used to conduct research and gather data.

Limitations

Boundaries or restrictions that define the scope, extent, or application of something, acknowledging its constraints or shortcomings.

Money Constraints

Financial limitations or restrictions that impact one's ability to spend, invest, or allocate funds.

Company Policy

Guidelines and rules set by a company to dictate behavior and procedures within the organization.