Multiple Choice
The consumption curve intersects the 45-degree reference line at $4 trillion.This indicates that
A) autonomous consumption spending is $4.1 trillion.
B) consumption spending is $4 trillion.
C) consumption spending is less than $4 trillion since taxes must be paid.
D) consumption spending is more than $4 trillion since taxes have been paid.
Correct Answer:
Verified
Related Questions
Q19: The 45-degree line
A)contains only a consumption component.
B)represents
Q20: An increase in autonomous consumption means that
A)the