Suppose When Disposable Personal Income Increases from $10,000 to $15,000

question 193

Multiple Choice

Suppose when disposable personal income increases from $10,000 to $15,000, consumption increases from $9,000 to $13,000. What is the marginal propensity to consume?

• A) 0.2
• B) 0.4
• C) 0.6
• D) 0.8

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