Assume There Is No Government or Foreign Sector

question 325

Multiple Choice

Assume there is no government or foreign sector. If the MPS is 0.2, a $40 billion decrease in planned investment will cause aggregate output to decrease by

• A) $20 billion.
• B) $50 billion.
• C) $80 billion.
• D) $200 billion.

---

Definitions:

Stanford Prison

refers to a psychological study conducted in 1971 by Philip Zimbardo at Stanford University, exploring the effects of perceived power, focusing on the struggle between prisoners and prison guards.

Correctional Institutions Environment Scale

A tool used to evaluate the physical, social, and psychological environments within correctional facilities.

Social Learning Theory

A theory that proposes people can learn new behaviors and attitudes through observing others, especially influential models.

Stay'n Out Program

A therapeutic community treatment program designed for individuals in prison to reduce recidivism through substance abuse intervention and social rehabilitation.