If the MPC Is 0

question 81

Multiple Choice

If the MPC is 0.6, and the government spends an additional $50 billion, the overall effect on GDP will be:

• A) an increase of $250 billion.
• B) a decrease of $25 billion.
• C) a decrease of $75 billion.
• D) an increase of $125 billion.

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Definitions:

Psychodynamic Therapies

A group of therapies derived from psychoanalytic theory, focusing on unconscious processes and unresolved conflicts from childhood.

Obsessive-compulsive Disorders

A mental health condition characterized by unwanted repetitive thoughts (obsessions) and actions (compulsions).

Defense Mechanisms

Psychological strategies used unconsciously to protect oneself from anxiety arising from unacceptable thoughts or feelings.

Obsessions

Persistent, unwanted thoughts, urges, or images that cause distress or anxiety.