If Net Taxes Decrease by $100 Billion and the Result

question 17

Multiple Choice

If net taxes decrease by $100 billion and the result is an increase in GDP of $300 billion,what is the marginal propensity to consume?

• A) 0.75
• B) 3.0
• C) 0.66
• D) 0.50
• E) 0.33

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Definitions:

Anticipatory Socialization

The first socialization stage, which encompasses all of the learning that takes place prior to the newcomer’s first day on the job.

Awards

Recognitions given to individuals or groups for their achievements, performance, or quality of work.

Rites of Passage

Ceremonial events or practices that mark an individual's transition from one status to another within their society or community.

Retirement Dinners

Social events organized to honor and celebrate the career of an individual retiring from active professional life.