Everything Else Held Constant,if Consumption Expenditure Falls by 160 When

question 57

Multiple Choice

Everything else held constant,if consumption expenditure falls by 160 when disposable income falls by 200,the mpc is

• A)0.
• B)0.2.
• C)0.4.
• D)0.8.

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Definitions:

Material A

A placeholder term often used to refer to a specific type of raw material used in manufacturing or production processes.

Direct Materials

Raw materials that can be directly attributed to the production of specific goods or services.

Production

The process of creating goods or services by combining labor, materials, and technology.

Dollar Amount

The total value of something expressed in dollars.