1 - MPC Equals

question 343

Multiple Choice

1 - MPC equals

• A) autonomous consumption.
• B) induced consumption.
• C) the marginal propensity to save.
• D) the net national product.

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Definitions:

Loanable Funds

The market where savers supply funds for loans to borrowers, influencing interest rates through the forces of supply and demand.

Quantity Demanded

Refers to the total amount of a good or service that consumers are willing and able to purchase at a given price level in a given time period.

Interest Rate

The segment of a loan applied as interest for the borrower, customarily shown as an annual percentage of the current loan outstanding.

Net Exports

The value of a country's total exports minus the value of its total imports. It is a measure of a nation's foreign trade balance.