John Maynard Keynes's central proposition that a dollar increase in disposable income would increase consumption, but by less than the increase in disposable income, means the marginal propensity to consume (MPC) is:
a. greater than or equal to one.
b. equal to one.
c. less than one, but greater than zero.
d. negative.
Question 2
The national debt is the:
a. difference between a nation's exports and imports of goods and services.
b. sum of the personal debt of all citizens in the United States.
c. indebtedness of the federal government in the form of outstanding interest-earning government security.
d. sum of the net personal debts of Americans to foreigners.
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