The consumption and saving schedules reveal that the:
A)MPC is greater than zero, but less than one.
B)MPC and APC are equal at the point where the consumption schedule intersects the 45-degree line.
C)APS is positive at all income levels.
D)MPC is equal to or greater than one at all income levels.
Answer:A
The consumption and saving schedules reveal that the:
A)MPC is greater than zero, but less than one. B)MPC and APC are equal at the point where the consumption schedule intersects the 45-degree line. C)APS is positive at all income levels. D)MPC is equal to or greater than one at all income levels.