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    Principles of Macroeconomics
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    Exam 16: The Influence of Fiscal Policy on Aggregate Demand
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    What Is the Term for the Fraction of Extra Income
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What Is the Term for the Fraction of Extra Income

Question 54

Question 54

Multiple Choice

What is the term for the fraction of extra income that a household consumes rather than saves?


A) the marginal propensity to consume
B) the total propensity to consume
C) the average consumption
D) the marginal tax rate

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