The Marginal Propensity to Consume Is

question 45

Multiple Choice

The marginal propensity to consume is

• A)That part of the average consumer dollar that goes to saving.
• B)The same as the spending multiplier.
• C)The change in consumption divided by the change in disposable income.
• D)Always equal to 1.

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Definitions:

Fraudulent Conveyance

The transfer of property with the intent to obstruct, delay, or defraud creditors.

Act of Bankruptcy

Any action taken by an individual or company that signals insolvency or the inability to pay debts as they come due.

Assignment of Liabilities

The transfer of responsibility for a debt or obligation from one party to another.

Stay of Proceedings

A court order to temporarily suspend the proceedings or actions in a case.