If MPC = 0

question 31

Multiple Choice

If MPC = 0.75 (and there are no income taxes but only lump-sum taxes) when T decreases by 100, then the IS curve for any given interest rate shifts to the right by:

• A)100.
• B)200.
• C)300.
• D)400.

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Definitions:

Epigenetic Marks

Chemical modifications to DNA or histones that can affect gene activity without changing the DNA sequence, often as a result of environmental factors.

Gene Expression

The process by which the information encoded in a gene is used to direct the assembly of a protein molecule, influencing an organism's traits.

Neurotransmitters

Chemical substances in the nervous system that transmit signals from one neuron to another.

Enzymes

Biological molecules that significantly speed up the rate of virtually all of the chemical reactions that take place within cells.