An Increase in the Sensitivity of Private Spending (Consumption,investment,and Net

question 160

Multiple Choice

An increase in the sensitivity of private spending (consumption,investment,and net exports) to changes in the interest rate ________ the government purchases multiplier.

• A)will decrease
• B)will increase
• C)will not change
• D)may increase or may decrease

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Definitions:

Syndromes

A collection or set of symptoms and signs that are often found together and characterize a particular disease or medical condition.

Groups of Symptoms

Refers to a set or cluster of signs and symptoms that frequently occur together and characterize a particular disorder or disease.

Diatheses

An inherent vulnerability or predisposition in an individual that makes them more susceptible to developing disorders or diseases.

ECT

Electroconvulsive Therapy, a psychiatric treatment where seizures are electrically induced in patients to provide relief from mental disorders.