The Marginal Propensity to Consume Refers to

question 327

Multiple Choice

The marginal propensity to consume refers to

• A) the additional saving that occurs out of an additional dollar of disposable income.
• B) the additional consumption expenditure that occurs out of an additional dollar of disposable income.
• C) the additional consumption expenditure that occurs out of an additional dollar of investment.
• D) the ratio of total consumption expenditure to total disposable income.

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Definitions:

Secretarial Skills

Refers to the abilities and competencies required for proficient performance in secretarial and administrative tasks, including typing, organization, communication, and office management.

Seamstresses

Women who sew and make clothing as a profession or hobby, often employing detailed craftsmanship in garment making.

Family Planning

The practice of controlling the number and spacing of children in a family through the use of contraception or other methods of birth control.

Distribution of Wealth

The way in which the wealth of a country or community is divided among its citizens, often highlighting issues of economic equality or inequality.