ZuoTi.Pro
Question

The slope of the demand for consumption goods is Question 10 options: 1) greater than 1....

The slope of the demand for consumption goods is

Question 10 options:

1)

 greater than 1.

2)

 equal to 1.

3)

 the MPC.

4)

 the MRS.

5)

 equal to the wage rate.
business   economics   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

The slope of the demand for consumption goods is Option C. The MPC.

The MPC or the marginal propensity to consume is the basic element of consumption function. It refers to the proportion of additional income used as consumption expenditure. It is measured as the rationale between change in consumption and Change in income. MPC is always constant as it indicates the slope of demand for consumption goods and slope of a straight line is always constant. MPC shows the rate at which consumption Increases in response to increase in income so it is the slope of the demand for consumption goods. Which makes all the other options incorrect.

NOTE: I HOPE YOU WILL BE SATISFIED WITH MY ANSWER. PLEASE DO PROVIDE RATING. THANK YOU AND HAVE A NICE DAY. :))

0 0
Add a comment
Know the answer?
Add Answer to:
The slope of the demand for consumption goods is Question 10 options: 1) greater than 1....
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • O consumption is greater than his inc O saving is zero. uestion8 1 pts If consumption...

    O consumption is greater than his inc O saving is zero. uestion8 1 pts If consumption is $30.000 income increases to $43,000, the MPC is when income is $35,000, and consumption increases to $36,000 when 0.65. O 0.75. 0.80. 0.95. D | Question 9 1 pts

  • If government spending increases then, given the real interest rate, Question 16 options: 1) the demand...

    If government spending increases then, given the real interest rate, Question 16 options: 1) the demand for goods increases more than one-for-one. 2) the demand for goods increases less than one-for-one. 3) the demand for goods is unchanged, due to crowding out. 4) the demand for goods increases one-for-one. 5) the demand for goods doubles.

  • Options are less than or greater than and is and is not Question 10 of 14...

    Options are less than or greater than and is and is not Question 10 of 14 (1.5 points) Attempt 1 of 3 11.5 Section Exercise 9 C Gender differences: A sociologist surveys a sample of college students to determine whether there are differences in the attitudes and behaviors of male and female students. The survey contains 28 questions. For one question, which asks how much time students spend studying each week, the difference between males and females is statistically significant...

  • help with question 1 please ECON20521 Macroeconomics Analysis 3 Tutorial 4 1. Explain the shape of...

    help with question 1 please ECON20521 Macroeconomics Analysis 3 Tutorial 4 1. Explain the shape of the representative firm's demand for labour. 2. What are the effecets of a temporary increase in government purchases on the real interest rate, aggregate output, employment, the real wage, consumption and invest- ment? 3. Determine how the following affects the slope of the out put demand curve, and explain your results: (a) The MPC increases. (b) The intertemporal substitution effect of the real iuterest...

  • 1. According to Keynesian theory, the primary determinant of the level of consumption and saving in...

    1. According to Keynesian theory, the primary determinant of the level of consumption and saving in the economy is the: a. level of investment. c. level of prices. b. level of income. d. interest rate. 2. If a family's MPC is. 7, it is: a. spending 70 percent of its income on consumer goods. b. necessarily dissaving. c. spending seventenths of any increment to its income d. operating at the breakeven point. The size of the MPC is assumed to...

  • 1. Janet's utility depends on consumption c and leisure l. She earns a wage equal to...

    1. Janet's utility depends on consumption c and leisure l. She earns a wage equal to w per hour, has an investment income equal to M(greater than or equal to) 0 and needs to sleep at least 8 hours a night. Normalize the price of consumption goods at $1. (i) Draw her indifference curves between hours of leisure and consumption, her budget line and her equilibrium choice of c and l. What is the slope of the budget line and...

  • Options: Greater than, less than, equal to Fluid Flow Concepts Puntos:1 The figure illustrates flow through...

    Options: Greater than, less than, equal to Fluid Flow Concepts Puntos:1 The figure illustrates flow through a pipe with diameters of 1 mm and 2 mm and with different elevations. px is the pressure in the pipe, and vx is the speed of a non-viscous incompressible fluid at locations x = Q,RS,T, or U. 0 D-2 mm Select the correct answers. Greater than Ps IS .Pu Greater than VR i 0.5v Equal toPs is.. PR Enviar Respuesta Incorrecto. Tries 2/10...

  • help with question 2 please ECON20521 Macroeconomics Analysis 3 Tutorial 4 1. Explain the shape of...

    help with question 2 please ECON20521 Macroeconomics Analysis 3 Tutorial 4 1. Explain the shape of the representative firm's demand for labour 2. What are the effects of a temporary increase in government purchases on the real interest rate aggregate out put, employment, the real wage, consumption and invest- ment? 3. Determine how the following affects theslope of the out put demand curve, and explain your results: (a) The MPC nereases (b) The intertemporal substitation effect of the real interest...

  • Assume the consumption schedule for a private closed economy is C-40+ 0.75Y, where C is consumption...

    Assume the consumption schedule for a private closed economy is C-40+ 0.75Y, where C is consumption and Y is gross domestic product. The multiplier for this economy is(3:4:5: 10) QUESTION 23 1.75 poin An economy is experiencing a high rate of inflation. The government wants to reduce consumption by $36 billion to reduce inflationary pressure. If the MPC is 0.75, the government should raise taxes by 16 ) bilion to achieve this objective ( 6:9: 12: QUESTION 24 1.75 points...

  • Savings is when for the same period. O consumption is greater than output consumption is less...

    Savings is when for the same period. O consumption is greater than output consumption is less than output O consumption is equal to output D Question 7 The business cycle refers to the washing cycle O GDP O short-run fluctuations in output and employment none of the above D | Question 8 What are the two approaches y ou can measure GDP with? Expenditures & Income Income& Investment National Income & GDP per capita None of the above

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT