The sum of the marginal propensity to consume (MPC) and the marginal propensity to save (MPS) always equals:
A. 1.
B. 0.
C. the interest rate.
D. the marginal propensity to invest (MPI).
Answer: A
Economics
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A change in any of the following factors EXCEPT ________ shifts the aggregate demand curve
A) expectations about the future B) the money wage rate C) monetary and fiscal policy D) foreign income E) the foreign exchange rate
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In long-run equilibrium, employment is at full employment and unemployment is at the natural rate of unemployment
a. True b. False Indicate whether the statement is true or false
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A) re-entrants to the labour force. B) job losers. C) involuntary part-time workers. D) job leavers. E) entrants to the labour force.
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