Solved

The Table Shows a Consumption Schedule

Question 26

Multiple Choice

 Disposable Income  Consumption $300$310350340400370450400500430\begin{array} { | c | c | } \hline \text { Disposable Income } & \text { Consumption } \\\hline \$ 300 & \$ 310 \\\hline 350 & 340 \\\hline 400 & 370 \\\hline 450 & 400 \\\hline 500 & 430 \\\hline\end{array} The table shows a consumption schedule. At the $300 level of disposable income,


A) the marginal propensity to save is 0.80.
B) the average propensity to consume is 0.60.
C) the average propensity to save is 0.30.
D) there is a dissaving of $10.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions