Suppose the Overall MPC Is 0

question 159

Multiple Choice

Suppose the overall MPC is 0.75 and the marginal propensity to import is 0.25. A $4 billion increase in U.S. exports will lead to a ________ increase in GDP.

• A) $6 billion
• B) $8 billion
• C) $12 billion
• D) $16 billion

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Definitions:

Political Conflict

Disputes or confrontations that arise within or between political entities, often involving differences in opinions, policies, or governance.

Polarization

refers to the process or state in which opinions, beliefs, or interests within a society become divided into two significantly opposing groups.

Policy Initiators

Entities or individuals who introduce or begin the process of developing new policies or legislative measures.

Policy Tasks

Specific actions or responsibilities that are carried out in order to implement or enforce policies.