Suppose the Marginal Propensity to Consume Is 0

question 258

True/False

Suppose the marginal propensity to consume is 0.8. If the government cut taxes by $100 billion, then real GDP would increase by $400 billion.

---

Definitions:

XY

A chromosomal designation for male sex in many organisms, including humans, where males typically have one X and one Y chromosome.

SRY Gene

A sex-determining gene on the Y chromosome that triggers the development of male anatomical features.

Androgen Insensitivity Syndrome

A condition in which a person who is genetically male is resistant to male hormones (called androgens), leading to the development of female physical traits despite having a male genetic makeup.

Klinefelter Syndrome

A genetic condition affecting males, characterized by an additional X chromosome, which can lead to developmental differences and infertility.