Refer to the information provided in Table 9.7 below to answer the questions that follow.
Table 9.7
All Numbers are in $ Million
-Refer to Table 9.7. Assuming constant MPC, at income of $1,100 million, consumption is $________ million, and at income of $1,400 million, consumption is $________ million.

Question

Refer to the information provided in Table 9.7 below to answer the questions that follow.
Table 9.7
All Numbers are in $ Million 
-Refer to Table 9.7. Assuming constant MPC, at income of $1,100 million, consumption is $________ million, and at income of $1,400 million, consumption is $________ million.

Quizplus · Accepted Answer

Given the assumption of a constant Marginal Propensity to Consume (MPC), the increase in consumption as income increases from $1,100 million to $1,400 million can be calculated based on the pattern or formula implied in the question. Without the specific table (Table 9.7) or a direct formula, we typically assume a linear relationship between income and consumption in economics, which means consumption increases at a constant rate as income increases. The correct answer, therefore, is inferred based on the assumption of constant MPC and the typical behavior of consumption in relation to income in economic models.

Refer to the Information Provided in Table 9