A. Past income
B. Current income
C. Disposable income
D. permanent income
Related Mcqs:
- If the Keynesian consumption function is C = 10 + 0.8 Td when disposable income is Rs1000 total consumption is what ?
A. 0.8
B. 800
C. 810
D. 0.81 - A linear consumption function with a positive slope less than one means that if income increases consumption will ?
A. fall
B. not change
C. fluctuate
D. increase - If the consumption of good by one person does not reduce the quantity available by others and nobody can be easily excluded from consumption, we are referring to a ?
A. Private good
B. merit good
C. public good
D. abundant good - Which theory of economic management focuses on encouraging product through tax reduction ?
A. Liberalism
B. Free market economics
C. Supply-side economics
D. Supervised market - A demand-side theory that focuses on the role of money to finance aggregate demand is termed__________?
A. monetarism
B. Reaganism
C. the gold standard
D. cash and carry - The theory that explains business cycles by the dynamic interaction of consumption and investment demand is the ?
A. sun spot theory
B. multiplier accelerator model
C. Solow theory
D. New classical theory - If the Keynesian consumption function is C = 10 + 0.8 Td when disposable income is Rs1000 the average propensity to consume is what ?
A. 0.8
B. 800
C. 810
D. 0.81 - An increase in consumption at any given level of income is likely to lead to ?
A. A fall is savings
B. An increase in exports
C. A fall in taxation revenue
D. A decrease in import spending - If the Keynesian consumption function is C = 10 + 0.8 Td when disposable income is Rs1000 the marginal propensity to consume is what ?
A. 0.8
B. 800
C. 810
D. 0.81 - In the equation C = a + bY, which describes the aggregate consumption function ‘b’ stands for ?
A. The marginal propensity to consume.
B. The amount of income when consumption is zero
C. The average consumption level
D. The amount of consumption when income is zero
