Question
If income increases from R1500 to R2000 and the marginal propensity to consume is 0.8, the new level of consumption will be? (a) R3500. (b)
If income increases from R1500 to R2000 and the marginal propensity to consume is 0.8, the new level of consumption will be? (a) R3500. (b) R400. (c) R1400. (d) R500. (e) Not enough information has been provided.
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Microeconomics
Authors: Robert Pindyck, Daniel Rubinfeld
8th edition
978-0132870436, 132870436, 013285712X, 978-0133371178, 133371174, 978-0132857123
