The above diagram shows consumption schedules for economies A and B. We can say that the:
A)MPC is greater in B than in A.
B)APC at any given income level is greater in B than in A.
C)MPS is smaller in B than in A.
D)MPC is greater in A than in B.
Answer:D
The above diagram shows consumption schedules for economies A and B. We can say that the:
A)MPC is greater in B than in A. B)APC at any given income level is greater in B than in A. C)MPS is smaller in B than in A. D)MPC is greater in A than in B.