Multiple Choice
The marginal propensity to consume (MPC) is calculated as:
A) the change in consumption divided by the change in disposable income.
B) total income divided by total consumption.
C) total consumption divided by the change in disposable income.
D) the change in consumption divided by total disposable income.
Correct Answer:

Verified
Correct Answer:
Verified
Q5: Wealth can be thought of as:<br>A) the
Q6: The effect of government spending or tax
Q7: Which of the following scenarios would cause
Q8: Economist John Maynard Keynes noted that one
Q9: The figure shows planned aggregate expenditure and
Q11: The equilibrium aggregate expenditure model:<br>A) can explain
Q12: In economics, investment refers to:<br>A) stocks.<br>B) bonds.<br>C)
Q13: If the MPC is 0.9, and the
Q14: If the domestic income of a nation's
Q15: Economic environments that have lower levels of