Multiple Choice
Jane supports herself at university by working in a bookstore earning $300 a month, which she spends entirely every month. If she gets a salary increase of $100 a month, she spends $90 more dollars on consumption expenditure. Jane's MPC is equal to
A) 0.10.
B) $90.
C) 1.00.
D) 0.50.
E) 0.90.
Correct Answer:
Verified
Correct Answer:
Verified
Q1: Induced expenditures are defined as that part
Q2: When the multiplier is _, an autonomous
Q3: If aggregate planned expenditure equals GDP, then<br>A)
Q4: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8401/.jpg" alt=" -The table above
Q6: As a household's disposable income increases, its
Q7: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8401/.jpg" alt=" -The above table
Q8: A country reports that unplanned inventories increased
Q9: As a result of an initial increase
Q10: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8401/.jpg" alt=" -The above table
Q11: When disposable income increases, consumption expenditure<br>A) does