Multiple Choice
When a person's consumption goes from $8,000 to $12,000 when her disposable income goes from $10,000 to $20,000, her MPC equals:
A) 0.4.
B) 0.6.
C) 0.75.
D) 0.8.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q36: If government spending increased by $200 billion
Q37: The marginal propensity to consume is a
Q38: Which of the following changes in taxes
Q39: Keynes believed that the economy could stay
Q40: Marginal propensity to save is equal to
Q42: If the _ is/are fixed, a change
Q43: Which of the following observations concerning the
Q44: Will MPC plus MPS always equal one?
Q45: Assume that autonomous expenditures in an economy
Q46: The value of the expenditure multiplier depends