The Important Message of Chapter 2 Is ______

question 61

Multiple Choice

The important message of Chapter 2 is ______.

• A)to establish a procedure or method for a successful entrepreneur
• B)to give the reader some sage advice which is research based
• C)to work on your strategic plan before you do anything else in your entrepreneurship
• D)that family and friends are the most important relationships of an entrepreneur

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Definitions:

45-Degree Line

In economics, a line on a graph that shows where the value of the goods and services produced in an economy equals the total income earned in that same economy.

Disposable Income

Income that is available for saving and spending after income taxes have been deducted.

Consumption

The act of using up goods and services by households or individuals, leading to a decrease in their quantity.

Marginal Propensity

The ratio of a change in consumption (or saving) to a change in income, indicating how much of an income change individuals will spend or save.