Multiple Choice
The change in consumption divided by a change in income is called the:
A) consumption function.
B) marginal propensity to consume.
C) marginal propensity to spend.
D) spending function.
E) changing propensity to consume.
Correct Answer:

Verified
Correct Answer:
Verified
Q24: A decrease in real GDP would affect
Q55: If the marginal propensity to save (MPS)
Q73: According to Keynesian economics, what impact would
Q75: Income tax collections:<br>A) fall during periods of
Q78: If consumption is $800 when income is
Q80: Exhibit 15-3 Aggregate demand and supply model <img
Q82: Suppose the economy is on the classical
Q84: Automatic stabilizers are government programs that tend
Q85: If the marginal propensity to consume (MPC)
Q88: Exhibit 15-1 Disposable income and consumption data <img