If MPC=08 and MPM=0

question 13

Multiple Choice

.If MPC=0.8 and MPM=0.05,a $100 million increase in exports will lead to:

• A)a $400 million increase in equilibrium GDP.
• B)a $400 million decrease in equilibrium GDP.
• C)a $500 million increase in equilibrium GDP.
• D)a $500 million increase in equilibrium GDP

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Definitions:

Insincere

Characterized by a lack of genuineness or honesty in expression; not expressing genuine feelings.

Trustworthiness

The ability to be relied on as honest or truthful.

Ingratiation

A psychological technique involving deliberate efforts to win someone's favor or to make oneself appear more likable to others.

Interpersonal Rewards

Benefits or positive outcomes that arise from social interactions, including emotional support, companionship, and shared activities.