Assume That Autonomous Consumption Equals $200 and Disposable Income Equals

question 73

Multiple Choice

Assume that autonomous consumption equals $200 and disposable income equals $1,000. If total consumption equal $800,then the mpc equals

• A)0.2.
• B)0.6.
• C)0.8.
• D)1.0.

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Definitions:

Hierarchy Culture

An organizational culture that emphasizes a clearly defined structure, control, and authority, where decisions are often made at the top levels.

Formal Chain

A structured sequence of command or a hierarchy within an organization, where communication and decisions flow through a pre-defined path.

Efficiency

The ability to accomplish a task or objective with the minimal expenditure of time and resources.

Competing Values Framework

A model that categorizes organizational cultures into four distinct types based on two dimensions: focus (internal vs. external) and structure (flexibility vs. stability).