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    Exam 21: The Simplest Short-Run Macro Model
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    FIGURE 21-2 Refer to Figure 21-2
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FIGURE 21-2 Refer to Figure 21-2

Question 25

Question 25

Multiple Choice

  FIGURE 21-2 Refer to Figure 21-2.Which of the following is the correct equation for the consumption function depicted in the figure? A) C = 500 + (2/3) Y<sub>D</sub> B) C = (0.5) Y<sub>D</sub> C) C = 1000 + (2/3) Y<sub>D</sub> D) C = 500 + (0.5) Y<sub>D</sub> E) C = 2000 + (2/3) Y<sub>D</sub> FIGURE 21-2 Refer to Figure 21-2.Which of the following is the correct equation for the consumption function depicted in the figure?


A) C = 500 + (2/3) YD
B) C = (0.5) YD
C) C = 1000 + (2/3) YD
D) C = 500 + (0.5) YD
E) C = 2000 + (2/3) YD

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