If the Marginal Propensity to Import Is ________, Then a $2

question 75

Multiple Choice

If the marginal propensity to import is ________, then a $2 trillion increase in disposable income would increase import expenditure by $0.2 trillion. If the marginal propensity to import is ________, then a $2 trillion increase in disposable income would increase import expenditure by $0.6 trillion.

• A) 1.0; 3.0
• B) 0.6; 2.0
• C) 0.2; 0.6
• D) 0.1; 0.3
• E) 0.3; 0.1

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Definitions:

Attitudes

A settled way of thinking or feeling about something, which often reflects an individual's views or opinions.

Communication

The process of exchanging information, ideas, thoughts, feelings, and values between people or groups.

Noise

Unwanted or irrelevant information or interference that obscures or reduces the clarity of a signal or data.

Formal Communication

This refers to the officially sanctioned methods and channels of communication within an organization, often documented and structured.