Multiple Choice
The marginal propensity to consume (MPC) is defined as the fraction of
A) extra income that a household consumes rather than saves.
B) extra income that a household either consumes or saves.
C) total income that a household consumes rather than saves.
D) total income that a household either consumes or saves.
Correct Answer:
Verified
Related Questions
Q2: Figure 34-8 Q3: The logic of the multiplier effect applies Q4: If the MPC = 0.75,then the government Q5: If the multiplier is 6,then the MPC Q6: Government purchases are said to have a
A)only
A)multiplier
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