Solved

Consumption Is $3,500 When Income Is $4,000, and Consumption Rises

Question 38

Multiple Choice

Consumption is $3,500 when income is $4,000, and consumption rises to $5,000 when income is $6,000. What is the marginal propensity to consume?

A) 0.75
B) 0.5
C) 1.33
D) 0.25

Related Questions

Q33: If the federal government raises taxes:<br>A)aggregate expenditure

Q34: In the Keynesian cross, macroeconomic equilibrium occurs

Q35: Consider the Keynesian cross shown here. The

Q36: Consider the Keynesian cross shown here. At

Q37: The relationship between consumption and income is:<br>A)sometimes

Q39: Consider the Keynesian cross shown here. What

Q40: This question has three parts.<br>(a) Consumption is

Q41: The difference between total investment and planned

Q42: Which of the following is the fiscal

Q43: If the Federal Reserve lowers interest rates:<br>A)the