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If the Marginal Propensity to Consume Is 0

question 128

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If the marginal propensity to consume is 0.85, what change in consumption expenditure would you expect if disposable income increases by $200 million?


Definitions:

Arithmetic Operator

Symbols used in mathematics and programming to perform operations such as addition, subtraction, multiplication, and division on numerical values.

Division Operation

A mathematical operation that involves dividing one quantity by another to calculate the quotient.

Adjacent Ranges

In spreadsheets, two or more cell ranges that are next to each other, sharing a boundary or corner.

Numeric Data

Information represented in numbers, used for calculations, measurements, and statistical analysis.

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