The Multiplier Is Greater Than 1 Because

question 450

Multiple Choice

The multiplier is greater than 1 because

• A) most households are unable to save.
• B) household spending exceeds income.
• C) one person's spending becomes another's income.
• D) corporate spending exceeds corporate income.

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Definitions:

Attitude-Behavior Inconsistency

The phenomenon where there is a discordance between what one professes to believe and how one actually behaves.

General Attitude

A broad, enduring evaluation of people, objects, advertisements, or issues.

Cognitive Dissonance

The psychological unease felt by someone harboring multiple conflicting beliefs, ideas, or values simultaneously.

Feeling of Arousal

A physiological and psychological state of being awake or reactive to stimuli, often associated with sexual desire.