If Disposable Income Increases by $100 Million,and Consumption Increases by $90

question 34

Multiple Choice

If disposable income increases by $100 million,and consumption increases by $90 million,then the marginal propensity to consume is

• A)0.9.
• B)0.8.
• C)0.75.
• D)0.6.

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Definitions:

Strike Legally

The action of employees stopping work as a form of protest, which is recognized and permitted within the legal framework of a country or region.

Strike Leverage

The advantage or power that workers and unions have to negotiate with employers, typically derived from the ability to halt or disrupt normal business operations through strikes.

Initial Proposals

The first set of terms and conditions put forward by one party during a negotiation process.

Bargaining

The process of negotiating the terms of employment between an employer and a group of employees or their representatives.