Given That Autonomous Consumption Equals $1,000,disposable Income Equals $20,000,and the MPC

question 82

Multiple Choice

Given that autonomous consumption equals $1,000,disposable income equals $20,000,and the MPC equals 0.80,the level of

• A)Saving equals $4,000.
• B)Saving equals $19,000.
• C)Consumption equals $17,000.
• D)Consumption equals $16,000.

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Definitions:

Hypothesis

A proposed explanation for a phenomenon, made as a starting point for further investigation, that can be tested through experimentation.

Specific Assumption

A particular premise or belief that is accepted as true without proof for the sake of argument or investigation.

Tested

The process of examining or evaluating someone or something, typically measuring performance, quality, or reliability.

Distinct Stages

Separate or clearly differentiated phases within a process or lifecycle.