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netineya [11]
3 years ago
6

If your income increases by $1,500 and you only consume $900 of it, your marginal propensity to consume would be equal to: a. 0.

60. b. 0.75. c. 600.00. d. 0.40. e. 0.50.
Business
1 answer:
iogann1982 [59]3 years ago
7 0

Answer:

a. 0.60.

Explanation:

Marginal Propensity to Consume is a metric which enables to measure the increase in consumer spending when there is increase in consumer disposable income. The proportion of disposable income with increase in spending is known as marginal propensity to consume.

The correct answer is 0.60. This is calculated by dividing consumption by the spending.

Marginal propensity to consume = $900 / $1,500

Marginal propensity to consume = 0.60.

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In 1932, the U.S. government imposed a two-cent tax on checks written on deposits in bank accounts. This action would be expecte
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Increase the currency-deposit ratio

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3 years ago
SCI just paid a dividend of $2.16 per share, and its annual dividend is expected to grow at a constant rate of 4.50% per year. I
guajiro [1.7K]

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where,

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8 0
3 years ago
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Answer:

<u>A Star.</u>

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2. Cash Cows: Products with high market share in low growth markets.

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