The Marginal Propensity to Consume Tells Us the Intercept of the Consumption

question 91

True/False

The marginal propensity to consume tells us the intercept of the consumption function.

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Definitions:

Behaviorists

Psychologists who focus on observable behaviors and the ways in which behaviors are learned, dismissing thoughts and emotions as causes for behavior.

Thorndike

An influential psychologist known for his work on learning theory and the law of effect, which states that actions followed by positive outcomes are more likely to be repeated.

Negative Punishment

A behavior modification technique where a desirable stimulus is removed following an unwanted behavior to decrease the likelihood of that behavior occurring in the future.

Primary

Referring to something that is first in order, importance, or rank.