Multiple Choice
The consumption function shows how ________.
A) the marginal propensity to consume varies with disposable income
B) income varies as a result of changes in consumption
C) consumption depends on the decision to save
D) all of the above
E) none of the above
Correct Answer:

Verified
Correct Answer:
Verified
Q52: Planned investment spending _.<br>A)is equal to planned
Q53: If aggregate output is above its equilibrium
Q54: The IS curve shifts to the left
Q55: We may infer from the downward slope
Q56: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5036/.jpg" alt=" -Referring to the
Q58: A decrease in autonomous consumption _.<br>A)lowers planned
Q59: If planned expenditure is below output,as the
Q60: If the government reduces spending _.<br>A)the IS
Q61: Consumption expenditure is 15,000,government purchases are 5,000,planned
Q62: For simplicity,the IS model assumes that neither