Q2 If the marginal propensity to consume equals 0.75, then a $100 Increase in disposable income leads to aMultiple Choice$13.33$25$75$133increase in consumption.

When the income of person increases than some portion of it is spent on the buying goods and service…

Answered: EEIS $75 $25 EE EIS O

Business

Accounting

EEIS $75 $25 EE EIS O

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

If the marginal propensity to consume equals 0.75, then a $100 Increase in disposable income leads to a
Multiple Choice
$13.33
$25
$75
$133
increase in consumption.

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