If the Marginal Propensity to Consume (MPC)is 0

question 440

Multiple Choice

If the marginal propensity to consume (MPC) is 0.9, then the multiplier for a change in autonomous spending will be

• A)0.1.
• B)9.
• C)10.
• D)100.

---

Definitions:

Different Purpose

Describes aims or goals that are distinct or not aligned with one another, often requiring separate approaches or strategies.

Commercial Letters of Credit

Financial documents issued by a bank guaranteeing payments to a seller on behalf of the buyer, in international trade transactions.

Global Trade

The exchange of goods, services, and capital across international borders or territories.

Payment Instruments

Various methods available for transferring money or settling transactions, including cash, checks, credit cards, and electronic transfers.