Refer to the Following Figure to Answer the Following Questions

question 161

Multiple Choice

Refer to the following figure to answer the following questions.
-According to the figure,if the government increases spending by only $4 billion in an effort to shift aggregate demand enough to return to long-run equilibrium,the marginal propensity to consume must be equal to

• A) 0.75.
• B) 0.8.
• C) 1.33.
• D) 1.57.
• E) 0.6.

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Definitions:

Specifying a Research Plan

The process of outlining the objectives, methodologies, and resources required for conducting a market research project to gather relevant data.

Descriptive Research

A research method that involves observing and describing the behavior of a subject without influencing it in any way.

Secondary Data

Information that was collected for another purpose but can be repurposed for a current research need; it includes sources like reports, studies, and previous research.