If the Consumption Function Is C = 25 + 0

question 120

Multiple Choice

If the consumption function is C = 25 + 0.9y and income increases by $100, then consumer spending will increase by

• A) $10.
• B) $25.
• C) $90.
• D) $115.

---

Definitions:

Stealth Bombers

Military aircraft designed to avoid detection using stealth technology, allowing them to penetrate enemy defenses and strike targets with high accuracy.

Investment Spending

Expenditures made for the purpose of acquiring new assets or upgrading existing ones to increase future productivity or revenue.