The MPC Is 0

question 47

Multiple Choice

The MPC is 0.90 and there are no income taxes or imports. If government expenditures on goods and services increases by $2.0 billion, after the multiplier effect works out, aggregate expenditure increases by

• A)$20 billion.
• B)$1.8 billion.
• C)$2.22 billion.
• D)$2.0 billion.
• E)$10 billion.

---

Definitions:

Social Interactions

Exchanges between two or more individuals, influencing each other's feelings, behaviors, and thoughts.

Strange Object

refers to an unfamiliar or unknown item that is encountered, often used in experiments to observe reactions or responses to novel stimuli.

Full-Fledge Attachment

A secure and stable emotional bond that has fully developed, typically between a child and caregiver, enabling healthy emotional development.

Phase of Attachment

A stage in the development of a child's emotional and interpersonal relationships, typically progressing from indiscriminate attachments to specific attachments and finally to reciprocal relationships.