-Refer to the above graph to answer this question.What is the value of the MPM?
A)0.
B)0.1
C)0.2
D)0.6

Question

-Refer to the above graph to answer this question.What is the value of the MPM?
A)0. 
B)0.1 
C)0.2 
D)0.6

Quizplus · Accepted Answer

The Marginal Propensity to Import (MPM) is calculated as the change in imports divided by the change in income. Without a specific graph provided, a general explanation is that if the graph showed an increase in imports corresponding to an increase in income, the MPM would be the slope of that relationship. Given the options, if B) 0.1 is the correct answer, it suggests that for every 1 unit increase in income, imports increase by 0.1 units.

-Refer to the Above Graph to Answer This Question