If Policy Makers Want to Increase Real GDP by $100

question 119

Multiple Choice

If policy makers want to increase real GDP by $100 billion and the marginal propensity to consume is 0.75, they should _____ taxes by _____ .

• A)decrease; more than $25 billion
• B)decrease; less than $25 billion
• C)increase; more than $25 billion
• D)increase; less than $25 billion

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Definitions:

Community Involvement

Participation and engagement of individuals in activities and initiatives for the betterment of their local community.

Workplace Hot Spot

Areas within a work environment where conflicts, high stress, or increased incidents of misconduct frequently occur.

Moral Obligation

A duty or commitment to act in ways that are considered ethically right and beneficial to the larger community.

Ethical Codes

Ethical codes are sets of principles and guidelines designed to help professionals conduct their activities in an honest and ethical manner.