The Simplified Expenditure Multiplier

question 67

Multiple Choice

The simplified expenditure multiplier:

• A) is calculated as 1/(1 − MP).
• B) has a positive value.
• C) grows larger as the marginal propensity to consume increases.
• D) All of these are true.

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Definitions:

Low-Mach

Refers to individuals who are not manipulative or deceitful and generally operate with honesty and integrity.

Manipulate

To control or influence something or someone cleverly, unfairly, or unscrupulously.

Extraversion

A personality trait characterized by high levels of sociability, assertiveness, talkativeness, and excitability among individuals.

Introvert

A person characterized by a preference for solitary activities and environments where stimulation is minimized, often reflective and reserved in nature.