📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!

  • google app store apple app store
  • ✖

      Question

      For an economy, if C = 400 + 0.8Yd, Yd = Y − T, T =

      300 + 0.2Y , find MPC. 
      A 0.93 Correct Answer Incorrect Answer
      B 0.64 Correct Answer Incorrect Answer
      C 0.81 Correct Answer Incorrect Answer
      D 0.2 Correct Answer Incorrect Answer
      E 0.1 Correct Answer Incorrect Answer

      Solution

      MPC is the slope coefficient of consumption function. C = a + cY.

      Practice Next
      ask-question