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    Exam 12: Consumption, Real GDP, and the Multiplier
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    When Graphing the Consumption Function, We Include a 45-Degree Reference
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When Graphing the Consumption Function, We Include a 45-Degree Reference

Question 399

Question 399

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.

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