If the Level of Consumption Is $100 Billion and Disposable

question 175

Multiple Choice

If the level of consumption is $100 billion and disposable income is $125 billion, then the

• A)APC = 0.6 and saving is positive.
• B)APC = 0.8 and saving is negative.
• C)APC = 0.8 and saving is positive.
• D)APC = 0.6 and saving is negative.

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Definitions:

Politician

An individual who is actively involved in politics, especially one holding or seeking an elected office.

Cognitive Dissonance Theory

A psychological theory suggesting that individuals experience discomfort when holding two or more conflicting beliefs, leading to an alteration in beliefs or behaviors to reduce discomfort.

Dissonance

A psychological conflict resulting from incongruent beliefs and attitudes held simultaneously, often leading to an alteration in one of the attitudes to reduce the conflict.

Align

To adjust or arrange something in a straight line, or to bring into cooperation or agreement with a particular group, standard, or belief.