Solved

If Carolyn's Consumption Rises by $5,000 as Her Income Increases

Question 6

Multiple Choice

If Carolyn's consumption rises by $5,000 as her income increases from $26,000 to $32,000 per year,her marginal propensity to consume is

A) 0.16.
B) 19.
C) 0.83.
D) 1.20.
E) impossible to determine from the data.

Related Questions

Q1: The following question are based on the

Q2: The income expenditure model is most relevant

Q3: The average propensity to consume is the<br>A)

Q4: A marginal propensity to consume of 0.8

Q5: Increases in the rate of interest<br>A) make

Q7: If output determines income and income determines

Q8: The following question are based on the

Q9: If the marginal propensity to consume is

Q10: Which of the following best expresses the

Q11: The following question are based on the