At the break-even point for the consumption function
A) saving is positive.
B) saving is negative.
C) saving is zero.
D) the marginal propensity to consume equals l.

Question

Quizplus · Accepted Answer

At the break-even point for the consumption function, income is equal to the total amount spent on consumption. This means that there is no saving or dis-saving, and therefore saving is zero.

At the Break-Even Point for the Consumption Function