If the Marginal Propensity to Consume Is Very Close to Zero,then

question 73

Multiple Choice

If the marginal propensity to consume is very close to zero,then the multiplier

• A)is very close to zero.
• B)is very close to one.
• C)is very large.
• D)might be negative if the marginal tax rate is large enough.
• E)cannot be calculated.

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Definitions:

Maslow

Refers to Abraham Maslow, a psychologist best known for creating Maslow's hierarchy of needs, a theory in psychology regarding human motivational levels.

Self-actualize

The process by which individuals realize their fullest potential, achieving personal goals and self-fulfillment.

Personality

A combination of characteristics or qualities that form an individual's distinctive character.

Maslow

Renowned for his hierarchy of needs theory, Abraham Maslow, a prominent American psychologist, argued that to attain psychological health, one must satisfy fundamental human needs in a sequential manner, ending with self-actualization.