If the MPC Equals 0.75, Then

question 226

Multiple Choice

If the MPC equals 0.75, then

• A) consumption expenditure is always more than disposable income.
• B) for every $100 increase in consumption expenditure, disposable income increases by $75.
• C) for every $100 increase in disposable income, saving increases by $25.
• D) for every $100 increase in disposable income, saving increases by $75.

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Definitions:

Z < 0.97

Describes the area under the normal distribution curve to the left of Z = 0.97, including all values less than this Z-score.

Highest 86%

Refers to the maximum value or percentile, likely in a set of data or scores, being at or reaching 86%.

Highest 7%

Refers to the top seven percent of a distribution or set of data points, often used in statistical analysis to identify outliers or exceptional cases.

-0.55 < Z < 0.55

Represents a range on the Z-score scale, which indicates values that are within this interval on a standard normal distribution.