Assume Autonomous Net Taxes Fall by $300; the MPC =

question 33

Multiple Choice

Assume autonomous net taxes fall by $300; the MPC = 2/3.Net exports,planned investment,taxes,and government purchases are autonomous and remain fixed.As a result,consumption will initially

• A)remain unchanged
• B)rise by $300
• C)fall by $300
• D)rise by $200
• E)fall by $200

---

Definitions:

Western Notions

Ideas, beliefs, or customs that have originated or are widely accepted in Western societies, particularly in Europe and North America.

Dietary Habits

Regular eating patterns or practices that an individual follows, often influenced by cultural, personal, or health factors.

Societal Values

The principles and standards of behavior considered important or desirable by a society or community.

Concordance Rate

The degree to which a particular trait or disorder is shared among individuals, typically twins, indicating genetic or environmental influences.