The marginal propensity to consume is
a. the change in income divided by the change in consumption
b. consumption spending divided by income
c. income divided by consumption spending
d. the change in consumption divided by the change in income
e. the change in consumption divided by income
D
You might also like to view...
Economists use the term normal good to refer to goods that
a. you consume on a daily basis. b. you consume more of when your income falls. c. you consume more of when your income rises. d. consumers choose the same quantities of regardless of income.
Which of the following has not been used by the US government to limit overfishing in US waters?
a. laws to limit the total catch b. laws to limit the size of fish caught c. price floors on fish d. limits to the length of the fishing season e. limits to the types of fishing equipment used
In the United States, a three-pound can of coffee costs about $5 . If the exchange rate is 0.8 euros per dollar and a three-pound can of coffee in Belgium costs 7 euros. What is the real exchange rate?
a. 7/4 cans of Belgian coffee per can of U.S. coffee b. 5.6/5 cans of Belgian coffee per can of U.S. coffee c. 5/5.6 cans of Belgian coffee per can of U.S. coffee d. 4/7 cans of Belgian coffee per can of U.S. coffee
The dominant school of economic thought from the 1930s into the 1960s was
A. the classical school. B. the Keynesians. C. the monetarists. D. supply-side economists.