If for Every One Dollar Increase in Income,savings Increases by 25

question 8

Multiple Choice

If for every one dollar increase in income,savings increases by 25 cents,the marginal propensity to consume is _________ and the closed economy multiplier is ______.

• A).25,4
• B).75,4
• C).25,.04
• D).75,1.333

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Definitions:

General Manager

An executive who has overall responsibility for managing both the revenue and cost elements of a company's income statement.

Change Initiatives

Organized efforts to improve a company's performance, processes, or culture through modifications in procedures or behaviors.

Personal Mastery

The discipline of continuously clarifying and deepening one's personal vision, focusing energies, developing patience, and seeing reality objectively.

Firm's Culture

Refers to the shared values, beliefs, and behaviors that shape how a company's employees interact and conduct business.