The Following Table Shows a Hypothetical Relationship Between Consumption and Income.Answer

question 34

Multiple Choice

The following table shows a hypothetical relationship between consumption and income.Answer the indicated question(s) on the basis of this table.
Table 12.1-Income and consumption data
-Based on Table 12.1,what is the multiplier?

• A) 0.75
• B) 0.80
• C) 4
• D) 5

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Definitions:

Marginal Revenue Product

The increased earnings obtained from utilizing an extra unit of an element, such as labor or capital.

Input

refers to the resources, materials, or labor used in the production of goods and services.

Units

Basic quantities or measurements used to express variables in various contexts, such as items, people, or currency.

Labor Demand Curve

A graphical representation showing the quantity of labor that firms are willing and able to hire at different wage levels, typically downward sloping.