[MPC - MPM] Equals the Marginal Propensity to

question 19

Multiple Choice

[MPC - MPM] equals the marginal propensity to

• A) save.
• B) import.
• C) consume domestic goods.
• D) export.

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Definitions:

Predictive Validity

The degree to which a result from a measurement or evaluation forecasts upcoming abilities in a connected activity.

Test Validity

The degree of accuracy with which an assessment measures its intended target.

Normal Distribution

A bell-shaped frequency distribution curve where most occurrences take place in the middle of the range and the probabilities of values farther away from the mean taper off equally in both directions.

Predictive Validity

How well a score from a test or scale indicates anticipated performance in tasks or outcomes that are related.