The table given below shows the values of different components of aggregate expenditure of an economy. The marginal propensity to consume (MPC) equals:
A) 0.20 or 1/5.
B) 0.40 or 2/5.
C) 0.80 or 4/5.
D) 0.90 or 9/10.
E) 0.60 or 3/5.

Question

The table given below shows the values of different components of aggregate expenditure of an economy. The marginal propensity to consume (MPC) equals:  
A) 0.20 or 1/5. 
B) 0.40 or 2/5. 
C) 0.80 or 4/5. 
D) 0.90 or 9/10. 
E) 0.60 or 3/5.

Quizplus · Accepted Answer

The Answer of The table given below shows the values of different components of aggregate expenditure of an economy. The marginal propensity to consume (MPC) equals:  
A) 0.20 or 1/5. 
B) 0.40 or 2/5. 
C) 0.80 or 4/5. 
D) 0.90 or 9/10. 
E) 0.60 or 3/5.

The Table Given Below Shows the Values of Different Components