If the Keynesian consumption function is C = 10 + 0.8 Td when disposable income is Rs1000 total consumption is what ?

Related Mcqs:

1. 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

2. 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

3. Disposable income is the part of households income left after the deduction of ?

   A. income tax and social security payments
   B. taxes and the addition of benefits
   C. income tax
   D. contractual payments such as pensions and mortgages

4. 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

5. 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

6. The World Bank’s GNP per capita classification for low income middle income and high income countries respectively is ?

   A. less than $900, $900-$9000 and more than $9000
   B. less than $5000, $5000-$15000 and more than $15000
   C. less than $100, $100-$1000 and more than $1000
   D. less than $5000, $5000-$150000 and more than $150000

7. A tax for which high income taxpayers pay a smaller fraction of their income than do low income taxpayers is known as ?

   A. a proportional tax
   B. a regressive tax
   C. an equitable tax
   D. a progressive tax

8. If the income tax rate changes from 30% to 40% on income over Rs30,000 and a person’s income is Rs 31,000 then her marginal tax rate is ?

   A. 30%
   B. 10%
   C. 70%
   D. 40%

9. Keynesian economics is an economic theory of British economist John Maynard. What this theory states ?

   A. A free market is necessary for economic growth and stability
   B. Regulation is necessary for economic growth and stability
   C. Active government intervention is necessary to ensure economic growth and stability
   D. Government intervention is not necessary to ensure economic growth and stability

10. The classical neoclassical monetarist Keynesian refers to the discipline of_____________?

    A. economics
    B. anthropology
    C. sociology
    D. psychology