Which of the Following Is True of the Simple Spending

question 81

Multiple Choice

Which of the following is true of the simple spending multiplier

• A)It equals the ratio of the marginal propensity to consume to the marginal propensity to save.
• B) It equals the difference between the marginal propensity to save and the marginal propensity to consume.
• C)It is the reciprocal of the marginal propensity to save.
• D)It is the reciprocal of the marginal propensity to consume.
• E)It is the sum of the marginal propensity to consume and the marginal propensity to save.

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Definitions:

Depression

A common and serious medical illness that negatively affects how you feel, the way you think, and how you act, characterized by feelings of sadness, loss, or anger that interfere with a person’s everyday activities.

Anger

A strong feeling of displeasure or hostility, often a natural, though potentially destructive, response to perceived wrongs or frustrations.

Therapeutic Relationship

The professional bond between therapist and client, characterized by trust, respect, and confidentiality, essential for effective therapy.

Rapport

A relationship characterized by mutual trust and understanding, often considered essential in therapeutic or interpersonal communication contexts.