Multiple Choice
The change in desired consumption divided by the change in disposable income that brought it about is called the
A) average propensity to consume.
B) average propensity not to consume.
C) consumption function.
D) marginal propensity to consume.
E) marginal propensity not to spend.
Correct Answer:
Verified
Correct Answer:
Verified
Q6: Consider the following information describing an economy
Q7: Total desired saving divided by total income
Q8: Desired consumption divided by disposable income is
Q9: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7713/.jpg" alt=" FIGURE 21-2 Refer
Q10: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB7713/.jpg" alt=" FIGURE 21-3 Refer
Q12: Consider the simplest macro model with a
Q13: The slope of the aggregate expenditure (AE)function
Q14: Consider a simple macro model with a
Q15: Suppose aggregate output is demand-determined.Which of the
Q16: Consider the simplest macro model with demand-determined