If the Marginal Propensity to Save (MPS) Is 0

question 55

Multiple Choice

If the marginal propensity to save (MPS) is 0.10, the value of the spending multiplier is:

• A) 1.
• B) 9.
• C) 10.
• D) 90.

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Definitions:

Central Nervous System

The part of the nervous system consisting of the brain and spinal cord, responsible for integrating sensory information and responding accordingly.

Neural Tissue

Neural tissue refers to the specialized cells and biological material that make up the nervous system, including the brain, spinal cord, and nerves, facilitating the transmission of electrical signals throughout the body.

Colour Vision

The ability of the eye and brain to perceive differences in wavelengths of light, enabling humans and other animals to see a variety of colors.

Defective Receptors

Abnormal proteins on the surface of cells that impair the cell's ability to respond to stimuli.