Exhibit 15-1 Disposable Income and Consumption Data In Exhibit 15-1, When Disposable Income Is Increased from $2,000

Exhibit 15-1 Disposable income and consumption data $$\begin{array} { | c | c | c | } \hline \text { Income (Y) } & \begin{array} { c } \text { Change in } \\\text { Disposable Income }\end{array} & \text { Consumption (C) } \\\hline 0 & & 500 \\1,000 & 1,000 & 1,400 \\2,000 & 1,000 & 2,200 \\3,000 & 1,000 & 2,900 \\4,000 & 1,000 & 3,500 \\5,000 & 1,000 & 4,000 \\\hline\end{array}$$ In Exhibit 15-1, when disposable income is increased from $2,000 to $3,000 to $4,000,

A) total consumption increases by $1,000.
B) the marginal propensity to consume remains constant.
C) the marginal propensity to consume decreases from 0.7 to 0.6.
D) the marginal propensity to consume decreases from 0.8 to 0.7.