Multiple Choice
If the consumption function is C = 90 + 0.75y, then the marginal propensity to consume is
A) 0.2.5.
B) 0.75.
C) 67.5.
D) 90.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q183: If the marginal propensity to save is
Q184: Assume that GDP = $10,000 and the
Q185: Which of the following causes the consumption
Q186: The fraction of additional income spent on
Q187: Price level is held constant when moving
Q188: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2855/.jpg" alt=" -Refer to Figure
Q189: Raising the personal income tax rate rotates
Q190: The formula for the tax multiplier is<br>A)
Q192: Let C = 300 + 0.75y and
Q193: Let C = 120 + 0.8y. Assume