(Table) the Table Shows Data on Consumption at Various Levels

question 97

Multiple Choice

(Table) The table shows data on consumption at various levels of income. Assume there is no private investment. The value of the marginal propensity to save is

• A) 0.1.
• B) 0.25.
• C) 0.75.
• D) 0.9.

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Definitions:

Equilibrium Price

The price point at which the demand for a product matches the supply, leading to market stability.

Future Supply

Refers to the anticipated quantity of goods or services that will be available in the market at future dates.

Equilibrium Quantity

The amount of goods or services available matches the amount people want to buy at the current market price.

Price of Rubber

The Price of Rubber refers to the current market price for rubber, which fluctuates based on supply and demand dynamics.