The Keynesian Consumption Function Is C = a + BYd

question 6

Multiple Choice

The Keynesian consumption function is C = a + bYd. What does Yd represent?

• A) The marginal propensity to consume
• B) Disposable income
• C) Autonomous spending
• D) Total consumption

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Definitions:

Agricultural Produce

Products that result from the cultivation and harvest of plants, animals, and other organic materials for human consumption and use.

Fair Value

The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

Agricultural Activities

Operations involved in the cultivation of land, raising and managing livestock, and growing crops, intended for the production of food and raw materials.

AASB 141

AASB 141 refers to the Australian Accounting Standards Board's standard on Agriculture, outlining how to account for agricultural activities in financial statements.