If the Consumption Function Is Expressed as C = a

question 63

Multiple Choice

If the consumption function is expressed as C = a + mpc × Y_D,then "mpc" represents

• A)autonomous consumer expenditure.
• B)the marginal propensity to consume.
• C)the expenditure multiplier.
• D)disposable income.

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Definitions:

Reasonable Steps

Actions or measures that are considered sensible and proportionate in a given situation to achieve a specified outcome.

Welfare

A government program that provides financial aid to individuals or groups in need.

State Interest

The concerns or objectives that are deemed important for the well-being or security of the state and its citizens.

Jehovah's Witness

A member of a Christian denomination known for its non-participation in political processes and refusal of blood transfusions.