If Planned Aggregate Expenditure Rises by $20 Billion and the Marginal

question 124

True/False

If planned aggregate expenditure rises by $20 billion and the marginal propensity to consume is 0.9,then the income-expenditure equilibrium increases by $18 billion.

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Definitions:

Heritability

The proportion of variation in traits in a population that can be attributed to genetic variation among individuals.

IQ

Intelligence Quotient (IQ) is a measure used to assess human intelligence, derived from standardized tests.

Cultural Differences

The variations in practices, beliefs, and norms observed among various ethnic, regional, or national groups.

Genetic Differences

Variations in the DNA sequences among individuals, which contribute to the unique physical and behavioral traits of each person.