Which of the Following Best Characterizes the Relationship Between the Marginal

question 44

Multiple Choice

Which of the following best characterizes the relationship between the marginal propensity to consume and the multiplier?  

• A) The lower the MPC, the higher the multiplier. 
• B) The higher the MPC, the lower the multiplier. 
• C) The MPC equals the multiplier. 
• D) The lower the MPC, the lower the multiplier.

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