Refer to the above diagram. The average propensity to consume:
A)is greater than 1 at all levels of disposable income above $100.
B)is greater than 1 at all levels of disposable income below $100.
C)is equal to the average propensity to save.
D)cannot be determined from the information given.
Answer:B
Refer to the above diagram. The average propensity to consume:
A)is greater than 1 at all levels of disposable income above $100. B)is greater than 1 at all levels of disposable income below $100. C)is equal to the average propensity to save. D)cannot be determined from the information given.