-How Much Is the Marginal Propensity to Consume When Disposable

question 39

Multiple Choice

$$\begin{array}{l}\text { Disposable Income Consumption }\\\begin{array} { c c } 0 & \$ 1 \text { trillion } \\\$ 1 \text { trillion } & 1.5 \text { trillion } \\2 \text { trillion } & 2.0 \text { trillion } \\3 \text { trillion } & 2.5 \text { trillion } \\4 \text { trillion } & 3.0 \text { trillion }\end{array}\end{array}$$
-How much is the marginal propensity to consume when disposable income rises from 0 to $1 trillion?

• A)0
• B).25
• C).5
• D).75
• E)1.0

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Definitions:

White New England Settlers

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