On a Diagram of the Consumption Function and the 45-Degree

question 119

Multiple Choice

On a diagram of the consumption function and the 45-degree line,saving at each level of disposable income is the vertical distance

• A)from the horizontal axis to the intersection point of the consumption line and the 45-degree line.
• B)from the horizontal axis to the 45-degree line.
• C)between the consumption and the 45-degree lines.
• D)from the horizontal axis to where the consumption line intersects the vertical axis.

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