The Average Value of Stock Shares Falls by 10 Percent

question 273

Multiple Choice

The average value of stock shares falls by 10 percent. Other things being equal, we would expect

• A) an increase in the marginal propensity to consume.
• B) a decrease in the marginal propensity to consume.
• C) a shift up of the consumption function.
• D) a shift down of the consumption function.

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Definitions:

Analogy

A comparison between two things, typically for the purpose of explanation or clarification.

Social-Cognitive Perspective

A theoretical perspective emphasizing the role of cognitive processes in understanding social behavior, which includes attitudes, attribution, and social learning.

Model

An organism that engages in a response that is then imitated by another organism.

Incubator

An organization or environment that supports the growth and development of startups or new ideas by providing resources, mentorship, and sometimes capital.