If the Marginal Propensity to Consume Is 0

question 10

Multiple Choice

If the marginal propensity to consume is 0.7,the expenditure multiplier is

• A) 7.0
• B) 0.7
• C) 3.0
• D) 3.3
• E) not determinable without additional information.

---

Definitions:

Carl Rogers

An influential American psychologist who founded client-centered therapy and emphasized the importance of a supportive therapeutic environment for psychological growth.

Genuineness

The quality of being authentic, sincere, and honest in one's interactions and relationships.

Self-Disclosing

The act of sharing personal information and feelings with others to foster closer relationships and enhance understanding.

Self-Actualization

According to Maslow, one of the ultimate psychological needs that arises after basic physical and psychological needs are met and self-esteem is achieved; the motivation to fulfill one’s potential.