Refer to the information provided in Table 22.2 below to answer the question(s) that follow. Table 22.2 PointAggregate Income (Y)Aggregate Consumption (C) A 10 14 B 20 23 C 30 25 D 40 26 E 50 34 F 60 39The data in the table was used to estimate the following consumption function: C = 12 + 0.4YRefer to Table 22.2. The error for point F is equal to
A. -6.
B. -3.
C. -1.
D. +2.
Answer: B
You might also like to view...
A decision tree is used when modeling:
A. simultaneous decisions. B. any type of game. C. games in which timing matters. D. a prisoner's dilemma.
According to the policy irrelevance proposition, monetary policy can affect real variables
A) in the short run only, and then only if the policy was fully anticipated. B) in both the short run and the long run. C) in the short run only, and then only if the policy was unanticipated. D) in the long run only.
Regulation Q was responsible for the drop in importance of __________ as a source of bank funds
A) time deposits B) transactions deposits C) savings deposits D) equity
If a series of major technological breakthroughs occur in the economy at the same time, then the most likely outcome would be that the economy's
a. investment curve will shift downward b. investment curve will shift upward c. consumption curve will shift downward d. consumption curve will shift upward e. position along the existing investment curve will move upward