If the MPC in an Economy Is 0

question 86

Multiple Choice

If the MPC in an economy is 0.75 and aggregate expenditures increase by $5 billion, then equilibrium GDP will increase by

• A)$3.75 billion.
• B)$6.7 billion.
• C)$8.75 billion.
• D)$20 billion.

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Definitions:

Ethicality

The degree to which behaviors, decisions, or actions are in alignment with accepted moral standards and principles.

Progressive Disciplinary Program

A systematic approach to discipline within an organization where the severity of the penalty increases with each subsequent offense.

Disciplinary

Relating to or used for correction, punishment, or controlling behavior, often within an organizational environment.

Turnover Process

The sequence of steps or activities involved when an employee leaves an organization and is replaced.