If Consumption Equals 800 When Disposable Income Is 1,000,and Then

question 125

Multiple Choice

If consumption equals 800 when disposable income is 1,000,and then consumption increases to 1,000 when disposable income increases to 1,300,the marginal propensity to consume is

• A)8/10.
• B)10/13.
• C)2/3.
• D)3/4.

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Definitions:

Cognitive Therapy

A type of psychological treatment that helps individuals challenge and change unhelpful cognitive distortions and behaviors, improve emotional regulation, and develop personal coping strategies.

Emotional Health

A state of well-being in which an individual realizes his or her own abilities, can cope with the normal stresses of life, can work productively, and is able to make a contribution to his or her community.

Cognitive Therapist

A mental health specialist who focuses on identifying and changing negative or inaccurate thought patterns to treat psychological disorders.

Evidence

Information, facts, or data that are used to support a conclusion, argument, or belief.