Everything Else Held Constant,if Total Consumption Increases from $600 to $800

question 97

Multiple Choice

Everything else held constant,if total consumption increases from $600 to $800 because of an increase of disposable income of $400,then the mpc is equal to

• A)0.2.
• B)0.4.
• C)0.5.
• D)0.6.

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Definitions:

Bethlehem Hospital

Historically known as Bedlam, it is one of the world's oldest hospitals for the treatment of mental illness, founded in London in the 13th century.

"Bedlam"

Historically, a term associated with the Bethlem Royal Hospital in London, now colloquially used to describe a scene of chaos or madness.

Deplorable Conditions

Extremely bad or unpleasant situations or environments, often referring to living conditions that are not fit for human inhabitation.

Moral Treatment

A 19th-century approach to mental illness focusing on humane treatment, moral discipline, and the therapeutic benefits of nature and physical work.