Exhibit 13.1 Assume the Marginal Propensity to Consume for U.S.households Equals 0.9,and

question 38

Multiple Choice

Exhibit 13.1
Assume the marginal propensity to consume for U.S.households equals 0.9,and the marginal propensity to import for the United States equals 0.1.Suppose there occurs an increase in investment of $10 billion at each level of income.
-Refer to Exhibit 13.1.The change in the level of U.S.income resulting from the additional investment spending equals

• A) $20 billion
• B) $30 billion
• C) $40 billion
• D) $50 billion

---

Definitions:

Live Stories

A feature in social media that allows users to post real-time videos or images that create a narrative, often disappearing after 24 hours.

Snapchat

A social media application known for its ephemeral messaging, where photos and messages disappear after being viewed.

Partnership

A legal form of business operation between two or more individuals who share management and profits.

Clarabridge Text Analytics

A technology solution that applies data mining and natural language processing to extract valuable insights from unstructured text data.