-Refer to the above graph to answer this question.What is the value of the MPC?
A)0
B)0.4
C)0.6
D)1
E)2.5

Question

-Refer to the above graph to answer this question.What is the value of the MPC?
A)0 
B)0.4 
C)0.6 
D)1 
E)2.5

Quizplus · Accepted Answer

The Marginal Propensity to Consume (MPC) is calculated as the change in consumption divided by the change in income. Without a specific graph to refer to, the correct answer cannot be determined from the provided options. However, if MPC is mentioned as 0.6 in a context or question, it means that for every additional dollar of income, consumption increases by 60 cents.

-Refer to the Above Graph to Answer This Question