If the Consumption Function Is C = 20 + 0

question 101

Multiple Choice

If the consumption function is C = 20 + 0.8YD,then an increase in disposable income by $100 will result in an increase in consumer expenditure by

• A)$58.
• B)$64.
• C)$80.
• D)$100.

---

Definitions:

Practicality

The aspect of being practical, logical, and focused on effective and efficient approaches to solving problems or accomplishing tasks.

Test Selection

The process of choosing appropriate assessments or measures based on their relevance, reliability, and validity for a specific purpose or population.

Disability

A physical or mental condition that limits a person's movements, senses, or activities, affecting their daily life and ability to participate in certain tasks or functions.

Rehabilitation Act

Legislation aimed at protecting individuals with disabilities from discrimination and ensuring their access to programs and services.