Question
If the consumption function is given by C = 150 + 0.85(Y - T)and T increases by 1 unit, then savings: a. decreases by 0.85units.
If the consumption function is given by C = 150 + 0.85(Y - T)and T increases by 1 unit, then savings: a. decreases by 0.85units. b. decreases by 0.15 units. c. increases by 0.15 units. d.increases by 0.85 units.
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Managerial Economics A Problem-Solving Approach
Authors: Luke M. Froeb, Brain T. Mccann
2nd Edition
B00BTM8FK0
