Multiple Choice
When Tom's income is $20,000, he spends $18,000 and when his income increases to $30,000, he spends $23,000. His MPC is
A) 0.3.
B) 0.5.
C) 0.65.
D) 0.77.
E) 0.90.
Correct Answer:
Verified
Related Questions
Q75: Exhibit 23-2 Q76: The consumption function shows the relationship between Q77: Suppose consumption increases by $250 million when Q78: Suppose consumption is $2,700 million when income Q79: Marginal propensity to consume measures Q81: Which of the following statements is true? Q82: Income has a strong effect on consumption
A)how much consumption
A)A
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