Solved

If Consumption Expenditures for a Household Increase from $1,000 to $1,800

Question 402

Multiple Choice

If consumption expenditures for a household increase from $1,000 to $1,800 when disposable income rises from $1,000 to $2,000, the marginal propensity to consume is


A) 0.8.
B) 80.
C) 1.25.
D) 0.2.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q397: There is a movement along the consumption

Q398: Which of the following is INCORRECT?<br>A) Expansions

Q399: In 2007, investment in France increased by

Q400: If the marginal propensity to save is

Q401: The multiplier measures the<br>A) horizontal shift in

Q403: 3 The Multiplier<br>-When autonomous expenditure decreases,<br>A) the

Q404: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above

Q405: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The figure above

Q406: Explain the basic idea of the expenditure

Q407: Between 2015 and 2016 the government reported