If the marginal propensity to consume is 0.5 and disposable income increases by $10,000 . by how much will consumption spending increase?
a. $10,000
b. $500
c. $50
d. $5,000
e. $9,524
D
Economics
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Given the equations for C, I, G, and NX below, what is the equilibrium level of GDP?
C = 1,000 + 0.8Y I = 1,500 G =1,250 NX = 100 A) $3,080 B) $3,850 C) $6,930 D) $19,250
Economics
What is the natural level of output?
Economics
Changes in rent on a plot of land are chiefly due to
A. changes in demand. B. changes in supply. C. changes in both demand and supply. D. changes in neither supply nor demand.
Economics
Assuming that the growth rate of full-employment output is 3%, and that the actual unemployment rate fell 2 percentage points in the last year, Okun's Law predicts that output growth rate over the past year was
A. 5%. B. 7%. C. 3%. D. -1%.
Economics