The Figure Given Below Represents the Macroeconomic Equilibrium in the Aggregate

question 117

Multiple Choice

The figure given below represents the macroeconomic equilibrium in the aggregate income and aggregate expenditure framework. Assume that MPI is equal to zero.
Figure 10.4
In the figure:
C: Consumption
I₁ and I₂: Investment
G: Government Spending
X: Exports
-In Figure 10.4, calculate the marginal propensity to consume.

• A) 0.67
• B) 0.50
• C) 0.25
• D) 0.33
• E) 4

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Definitions:

Locked Cabinet

A secure storage unit with a lock mechanism used to prevent unauthorized access, often for safety or security.

Requisition

A formal request from a staff member or doctor for the purchase of equipment or supplies.

Purchase Order

A formal document issued by a buyer to a seller, specifying the products, quantities, and agreed prices for products or services the seller will provide to the buyer.

ROM

Acronym for Read-Only Memory, a type of non-volatile storage medium that permanently stores data on personal computers and other electronic devices.