The Larger the Marginal Propensity to Consume

question 108

Multiple Choice

The larger the marginal propensity to consume,

• A) the larger the multiplier.
• B) the larger the marginal propensity to save.
• C) the higher the income level of the economy.
• D) the smaller the change in income derived from a given change in government spending.

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Definitions:

Aortic Arch

The curved portion of the aorta, the largest artery in the body, from which major arteries to the head and arms branch off.

External Iliac Artery

A major artery which arises from the common iliac artery to supply blood to the lower limb.

Iliolumbar Artery

An artery that supplies blood to the ilium and lumbar regions of the spine.