Refer to the information provided in Figure 8.4 below to answer the questions that follow. Figure 8.4 -Refer to Figure 8.4. The aggregate consumption functions C₂ and C₃ A) have the same MPC. B) imply the same MPS. C) differ in terms of the amount of consumption when income is zero. D) all of the above

Question

Quizplus · Accepted Answer

The aggregate consumption functions C2 and C3 differ in terms of the amount of consumption when income is zero, which is indicated by different intercepts on the vertical axis.

Refer to the Information Provided in Figure 8