-Use the above table. The MPC is
A) 0.91.
B) 0.80.
C) 0.20.
D) 0.09.

Name: -Use the above table. The MPC is A) 0.91. B) 0.80. C) 0.20. D) 0.09.
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Question

-Use the above table. The MPC is
A) 0.91. 
B) 0.80. 
C) 0.20. 
D) 0.09.

Quizplus · Accepted Answer

The Marginal Propensity to Consume (MPC) is calculated by the change in consumption divided by the change in income. Given the options, an MPC of 0.80 is typical, indicating that for every additional dollar of income, consumption increases by 80 cents.

-Use the Above Table. the MPC Is