Multiple Choice
When graphing the consumption function, we include a 45-degree reference line. What is TRUE at the points at which the consumption function crosses this line?
A) Planned real saving is zero.
B) Planned real consumption spending is zero.
C) Real disposable income is zero.
D) Real GDP is zero.
Correct Answer:

Verified
Correct Answer:
Verified
Q394: The marginal propensity to consume explains how
Q395: Based on historical data, which of the
Q396: The equation is the <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5018/.jpg" alt="The
Q397: Suppose equilibrium for an economy occurs when
Q398: According to Keynes, planned consumption<br>A) decreases as
Q400: Along the portion of the consumption function
Q401: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5018/.jpg" alt=" -Refer to the
Q402: The average propensity to consume is<br>A) real
Q403: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB5018/.jpg" alt=" -In the above
Q404: The ownership of stock of assets is<br>A)