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Question 79

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Use the following to answer questions .
Exhibit: Consumption Functions
Figure 13-3 Use the following to answer questions . Exhibit: Consumption Functions Figure 13-3   -(Exhibit: Consumption Functions)  Which of the following statements is false? A)  At points j, k, and m, consumers spend all their disposable income on consumption. B)  The amount of consumption is positive even when disposable income equals zero. C)  The slope of the consumption function is the marginal propensity to consume. D)  At points j, k, and m, the marginal propensity to save equals zero.
-(Exhibit: Consumption Functions) Which of the following statements is false?


A) At points j, k, and m, consumers spend all their disposable income on consumption.
B) The amount of consumption is positive even when disposable income equals zero.
C) The slope of the consumption function is the marginal propensity to consume.
D) At points j, k, and m, the marginal propensity to save equals zero.

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