Multiple Choice
Other things constant, an increase in households' willingness to save more at every level of income will cause:
A) the consumption function to become flatter because the MPC rises.
B) the consumption function to make a downward parallel shift.
C) the consumption function to remain stationary but the saving function to shift upward.
D) the consumption function to become steeper because the MPC declines.
Correct Answer:

Verified
Correct Answer:
Verified
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