Scenario 24-2

question 142

Multiple Choice

Scenario 24-2.The following facts apply to a small,imaginary economy.
• Consumption spending is $5,200 when income is $8,000.
• Consumption spending is $5,536 when income is $8,400.
-Refer to Scenario 24-2.The marginal propensity to consume for this economy is

• A) 0.650.
• B) 0.659.
• C) 0.650 or 0.659,depending on whether income is $8,000 or $8,400.
• D) 0.840.

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Definitions:

Pectoralis Major

A significant muscle located in the upper part of the chest that helps with shoulder and arm movements.

Deltoid

A sizable, three-sided muscle enveloping the shoulder joint tasked with raising the arm and providing the shoulder with its mobility.

Biceps Brachii

A large muscle of the upper arm responsible for flexing the elbow and rotating the forearm, well known for its two heads or points of origin.

Serratus Anterior

A muscle located on the side of the chest that assists in the upward movement of the arm and in breathing.