If the Marginal Propensity to Consume Is 0

question 133

Multiple Choice

If the marginal propensity to consume is 0.75 and taxes increase by $30 billion, real GDP will:

• A)increase by exactly $30 billion.
• B)decrease by exactly $30 billion.
• C)decrease by less than $120 billion.
• D)decrease by more than $120 billion.

Understand the Big Five personality traits and their implications.

Recognize the importance and strategies of impression management.

Identify various perceptual errors and biases such as projection, selective perception, and the halo effect.

Learn the difference between introversion and extraversion.

---

Definitions:

Behaviourism

A theoretical approach in psychology that focuses on observable behaviors and external stimuli, neglecting internal mental states.

External Stimuli

Environmental factors or inputs that can provoke a response from an individual or organism, ranging from physical to emotional responses.

Animal Research

The use of non-human animals in scientific experiments to study biological, psychological, or social processes.

Behaviourism

A theory in psychology that asserts that behaviors are a result of the environment and stimuli, emphasizing observable and measurable behaviors over internal mental states.