If the MPC Equals 0

question 11

Multiple Choice

If the MPC equals 0.7 and the MPM equals 0.10, then the spending multiplier equals

• A)10
• B)9
• C)5
• D)3.3
• E)1.1

---

Definitions:

Federal Sentencing Guidelines

A set of rules designed to standardize sentencing policies in United States federal courts for convicted criminals to ensure consistency and fairness in punishment.

Business Ethics

The study of appropriate business policies and practices regarding potentially controversial issues such as corporate governance, insider trading, bribery, discrimination, corporate social responsibility, and fiduciary responsibilities.

Federal Sentencing Guidelines

A set of standards that outline the recommended punishment for individuals and organizations convicted of federal crimes in the United States.

Compliance Program

A formalized system within organizations that helps ensure adherence to laws, regulations, and company policies.