In Opulencia, the marginal propensity to save is only 0.10. In an effort to promote the virtues of saving, the government starts a campaign encouraging citizens to increase their marginal propensity to save to 0.20. How would this greater saving affect the impact of the multiplier? A) The multiplier rises, making spending more powerful.
B) The multiplier falls, making spending less powerful.
C) The multiplier stays the same.
D) The multiplier will disappear altogether.

B) The multiplier falls, making spending less powerful.

Explanation:

As we know that the multiplier refers to a factor where the changes with respect to increase or decrease of another things is to be seen.

Also,

MPS + MPC = 1

And,

Multiplier = 1 ÷ (1 - MPC)

or

= 1 ÷ MPS

In addition to this, MPS has the negative relationship with the multiplier

that means if the MPS increased then the multiplier decreased and vice versa

Therefore the option B is correct

being born in poverty would limit the people's chances, opportunities and benefits.

this happen because of several things, such as:

- poor people tend to gain less access to good education and nutrition. this mean that their chance to obtain high paying jobs would also be limited.

- poor people tend to socialize with other poor people while the rich tend to socialize with other rich people. this means that simply throguh their social circle, rich people would have more business opportunities compared to the poor people.

- rich people tend to have more capital in their disposal. this would benefit them in business since it is far easier for them to fund their business operation compared to poor people.