In the Keynesian linear consumption function Y=?1+?2X, the explanatory variable is
A)?1
B)x
C)y
D)?2

Question

Quizplus · Accepted Answer

In the Keynesian linear consumption function Y = β1 + β2X, the explanatory variable is X. This is because in such a function, Y represents the dependent variable (in this case, consumption), and X represents the independent or explanatory variable that influences Y. β1 is the intercept and β2 is the slope coefficient, but they are not considered variables in the context of the equation.

In the Keynesian Linear Consumption Function Y=?1+?2X, the Explanatory Variable