Here Is a Consumption Function: C = C 0 + MPC(Y d )

The Answer of Here Is a Consumption Function: C = C 0 + MPC(Y d )

Here Is a Consumption Function: C = C 0 + MPC(Y d )

The Answer of Here Is a Consumption Function: C = C 0 + MPC(Y d )

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Here Is a Consumption Function: C = C₀ + MPC(Y_d)

Question 95

Multiple Choice

Here is a consumption function: C = C₀ + MPC(Y_d) .Which of the following is true about the consumption function?

A) Consumption will rise if autonomous consumption or disposable income rise.
B) Consumption will fall if autonomous consumption falls or if the MPC rises.
C) Consumption will rise if autonomous consumption rises, MPC declines, or disposable income rises.
D) For every $1 rise in autonomous consumption, consumption will also rise by $1.
E) a and d

Here Is a Consumption Function: C = C0 + MPC(Yd)

Multiple Choice

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Here Is a Consumption Function: C = C₀ + MPC(Y_d)

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