Suppose the Marginal Propensity to Consume (MPC)is 0

question 370

Multiple Choice

Suppose the marginal propensity to consume (MPC) is 0.8 and there is a $2,000 increase in autonomous consumption. Given this information, real GDP will increase by

• A)$1,600.
• B)$2,000.
• C)$2,500.
• D)$10,000.

Understand the role of relationship marketing and its benefits in the context of service businesses.

Recognize the impact of service branding on consumer perception and the introduction of new services.

Appreciate the intangible nature of services and its implications on pricing and consumer perception of quality.

Understand the legal definition and characteristics of negotiable instruments under the Bills of Exchange Act.

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Definitions:

Study Of Cultures

The academic and scientific examination of cultures, exploring their behaviors, traditions, values, and social norms, typically within the field of anthropology or cultural studies.

OB

Also known as Organizational Behavior, it is the study of how people interact within groups in a work environment.

Critical Thinking

The objective analysis and evaluation of an issue in order to form a judgment, characterized by logical thinking, questioning assumptions, and assessing evidence.

Human Capital

The knowledge, skill sets, and abilities that employees bring to the workplace, viewed as an asset to the organization.