The Marginal Propensity to Consume Is 0

question 100

Multiple Choice

The marginal propensity to consume is 0.75,marginal propensity to invest is 0.3,and the marginal propensity to import is 0.2.What is the size of the multiplier?

• A)6.67
• B)5.67
• C)4.67
• D)1.67

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Definitions:

Automatic Modes

Processes in the brain that occur without conscious thought, often as habitual responses or reactions to certain stimuli.

Conserve Effort

The tendency to reduce the amount of mental or physical energy expended on tasks, often by relying on heuristics or shortcuts.

Stroop Test

A standard measure of effortful control over responses, requiring participants to identify the color of a word (which may name a different color).

Automatic Thinking

Involves thoughts that occur spontaneously, often subconsciously, and without deliberate control, frequently shaping our emotions and behaviors without our active awareness.