A. 10
B. 1
C. 9
D. 0.1
Related Mcqs:
- If the marginal propensity of consume MPC is 0.75 the value of the multiplier is ?
A. 4
B. 7.5
C. 5
D. 0.75 - 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 - An increase in the marginal propensity to consume will ?
A. increase the size of the multiplier
B. Increase the marginal propensity to save
C. Decrease national income
D. Reduce injections into the economy - The marginal propensity to consume is equal to ?
A. Total spending / total consumption
B. Total consumption / total income
C. change in consumption / change in income
D. Change in consumption / change in savings - The marginal propensity of consume is equal to ?
A. Total spending / total consumption
B. Total consumption / total income
C. Change in consumption / change in income
D. Change in consumption / change in savings - 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 - If as the quantity produced increase a production function first exhibits increasing marginal product and later diminishing marginal product, the corresponding marginal-cost curve will ?
A. be flat (horizontal)
B. slope upward
C. slope downward
D. be U-shaped. - If goods are exported for less than society’s marginal production cost and the marginal benefit to domestic consumers, it is likely that they benefit from?
A. an import subsidy
B. a quota
C. comparative advantage
D. an export subsidy - The marginal propensity to withdraw is ?
A. 1/investment multiplier
B. 1-(1/injections multiplier
C. MPS + MPT + MPM
D. the proportion of national income that is withdraw from the circular flow of income - The marginal propensity to save (MPS) is ?
A. the average amount of income that is saved
B. the fraction of a change in income that is saved
C. the ratio of saving to income
D. the ratio of income to saving
