The Marginal Propensity to Consume Is Found by

question 97

Multiple Choice

The marginal propensity to consume is found by

• A) dividing the change in disposable income by the change in consumption expenditure.
• B) dividing consumption expenditure by disposable income.
• C) dividing the change in consumption expenditure by the change in disposable income.
• D) dividing disposable income by consumption expenditure.

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Definitions:

Warranted

Describes an inference or argument such that the truth of the premises justifies or strongly supports confidently accepting the conclusion as very probably true, but not necessarily true.

Tautological

Pertaining to a statement that is true by necessity or by virtue of its logical form.

Natural Phenomena

Events or observable occurrences in the natural world, not produced by humans, that can be explained through scientific investigation.

Natural Science

The branch of science concerned with the description, prediction, and understanding of natural phenomena, based on empirical evidence from observation and experimentation.