If Ap Is Total Autonomous Planned Spending,c Is the Marginal

question 68

Multiple Choice

If Ap is total autonomous planned spending,c is the marginal propensity to consume,s is the marginal propensity to save,and Y is the equilibrium income level,then

• A)Ap/Y.
• B)Y = Ap/s.
• C)sY.
• D)cAp.

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Definitions:

Expected Value

The predicted value of a variable, calculated as the sum of all possible values each multiplied by the probability of its occurrence.

Expected Value

An average value determined by weighing all potential outcomes of a random variable according to their likelihood of happening.

Payoffs

The returns or benefits received from a particular course of action or decision, often evaluated in decision-making processes.

Invest

Allocating resources, usually money, with the expectation of generating an income or profit.