-In the Above Figure, a Change in Autonomous Consumption to $4

question 314

Multiple Choice

-In the above figure, a change in autonomous consumption to $4 trillion with no change to the MPC would cause the consumption function to

• A) become steeper.
• B) become flatter.
• C) exhibit a parallel shift downward.
• D) exhibit a parallel shift upward.

---

Definitions:

Pooling

The act of combining resources or assets for a common purpose, often to increase efficiency or achieve a shared goal.

C Corporations

A type of corporation in the United States taxed separately from its owners, offering limited liability protection to its shareholders.

S Corporations

A type of corporation in the United States that meets specific Internal Revenue Code requirements, allowing it to pass income directly to shareholders and avoid double taxation.

Taxed

Subjected to a financial charge or levy imposed by a governmental organization on income, goods, or activities.