An increase in the marginal propensity to save (MPS)
A) increases autonomous consumption.
B) increases the value of the multiplier.
C) increases the marginal propensity to consume (MPC).
D) none of the above.
Question 2
According to this Application, from the early 1990s until quite recently, the U.S. economy grew. This growth in the U.S economy
A) decreased foreign investment in the U.S. B) decreased imports to the United States.
C) caused the level of U.S. exports to decline. D) increased the U.S. demand for foreign products.
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