Which formula is correct?
A)S = Yd - C
B)Yd + S = C
C)Yd × S = C
D)Yd + C = S

Name: Which formula is correct? A)S = Yd - C B)Yd + S = C C)Yd × S = C D)Yd + C = S
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Question

Quizplus · Accepted Answer

The correct formula for the Keynesian consumption function is S = Yd - C, where S is savings, Yd is disposable income, and C is consumption. This equation shows that savings are equal to disposable income minus consumption expenditures.

Which Formula Is Correct