If We Observe That Every Increase in Income of $120

question 165

Multiple Choice

If we observe that every increase in income of $120 million generates an increase in consumption of $80 million, then the simple multiplier is

• A)2/3.
• B)3/2.
• C)2
• D)3
• E)8

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Definitions:

Mood Contagion

The phenomenon where an individual's mood or emotional state is transferred to others, influencing their feelings and behaviors.

Facial Feedback

The hypothesis that facial movements can influence emotional experience.

Secondary Emotion

Emotions that are more complex and often arise from the combination of primary emotions, such as guilt, shame, or pride.

Prototypical Emotions

Basic, universally recognized emotions such as happiness, sadness, fear, disgust, anger, and surprise.