If Households Save $30 Billion More at Each Level of Income

question 54

Multiple Choice

If households save $30 billion more at each level of income and the MPC = 0.9,the aggregate expenditure line will

• A)not be affected
• B)shift upward by $30 billion
• C)shift downward by $30 billion
• D)shift upward by $300 billion because of the multiplier
• E)shift downward by $300 billion because of the multiplier

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Definitions:

Thomas-Kilman Conflict Model

A framework that identifies five approaches individuals use to handle conflict: avoiding, accommodating, competing, compromising, and collaborating.

Compromiser

Someone who uses his or her skills to blend differences and form a workable alternative.

Basic Goals

Fundamental objectives or aims that an individual or organization strives to achieve.

Envious Person

An individual who feels discontent or covetousness with regard to another's advantages, success, or possessions.