Assume That the MPC Is 0

question 52

Multiple Choice

Assume that the MPC is 0.8. Assume that the total crowding-out effect is $25 billion. How will an increase in government purchases of $9 billion shift the AD curve?

• A)It will shift the AD curve right by $25 billion.
• B)It will shift the AD curve left by $25 billion.
• C)It will shift the AD curve right by $20 billion.
• D)It will shift the AD curve left by $20 billion

---

Definitions:

Dignity And Respect

The principle of treating individuals as worthy of honor and understanding, recognizing their inherent value and rights.

Caregiver Negligence

The failure of a person providing care to meet the needs or ensure the welfare of those who are elderly, ill, or disabled.

Defamation

A legal term for false statements that harm someone's reputation.

Suicide Precautions

Measures taken to prevent individuals who are at risk of self-harm or suicide from taking their own lives, often involving close supervision and removal of harmful objects.