$Macmillan LearningThe Wong family has a disposable income of $80,000 annually. Currently, the Wong family spends 80% of new disposableincome on consumption. Assume that their marginal propensity to consume is 0.8 and that their autonomous consumptionspending is equal to $10,000.What is the amount of the Wong family's annual consumer spending?

Annual disposable income = $80,000 Marginal propensity to consume (MPC) = 0.8 Autonomous consumption…

Answered: $ Macmillan Learning The Wong family…

Principles of Economics (MindTap Course List)

8th Edition

ISBN:9781305585126

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter21: The Theory Of Consumer Choice

Section: Chapter Questions

Problem 12PA

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