If the Marginal Propensity to Consume Declines, Then

question 75

Multiple Choice

If the marginal propensity to consume declines, then

• A)for any given change in income, there will be a smaller change in saving.
• B)nothing will happen to the consumption function.
• C)for any given change in income, there will be a larger change in consumption.
• D)for any given change in consumption, there will be a smaller change in income.
• E)for any given change in income, there will be a smaller change in consumption.