The Greater Is the Marginal Propensity to Consume

question 192

Multiple Choice

The greater is the marginal propensity to consume:

• A)the smaller is the marginal propensity to save.
• B)the higher is the interest rate.
• C)the lower is the average propensity to consume.
• D)the lower is the price level.

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Definitions:

Tails

The extreme ends of a distribution, representing outcomes that are far from the central peak of the distribution.

Flipping

Flipping typically refers to buying assets, such as real estate or stocks, and quickly selling them for a profit.

Dependent

Being influenced by another variable, in statistics, refers to the variable whose value is predicted in a regression analysis.

Independent

A condition where the occurrence or value of one variable does not affect or is not associated with another.