In a simple economy (assume there are no taxes, thus Y is disposable income), the consumption function is C= 250+ 0.75Y
Posted: Wed Jul 06, 2022 5:54 am
In a simple economy (assume there are no taxes, thus Y is disposable income), the consumption function is C= 250+ 0.75Y Thus, autonomous consumption is and the marginal propensity to consume is A consumer whose income increases by $100 will increase consumption by $