ЁЯУв Too many exams? DonтАЩt know which one suits you best? Book Your Free Expert ЁЯСЙ call Now!

    Question

    The marginal propensity to consume, lies between

    _____.
    A 0 to 1 Correct Answer Incorrect Answer
    B -1 to 1 Correct Answer Incorrect Answer
    C 0 to Infinity Correct Answer Incorrect Answer
    D 1 to 10 Correct Answer Incorrect Answer

    Solution

    The Marginal Propensity to Consume (MPC) refers to the fraction of additional income that is spent on consumption. It lies between 0 and 1, meaning people either save or spend a portion of their additional income.

    Practice Next
    More ESIC Part B Questions
    ask-question