If the Equation for the Consumption Schedule Is C =

question 74

Multiple Choice

If the equation for the consumption schedule is C = 20 + 0.8Y, where C is consumption and Y is disposable income, then the average propensity to consume is 1 when disposable income is:

• A)$80
• B)$100
• C)$120
• D)$160

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Definitions:

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The process of making inferences or judgments based on the analysis of information or data.

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