Suppose a family’s consumption exceeds its disposable income. This means that its:
A)MPC is greater than 1.
B. MPS is negative.
C. APC is greater than 1.
D. APS is positive.
Answer:C
Suppose a family’s consumption exceeds its disposable income. This means that its:
A)MPC is greater than 1. B. MPS is negative. C. APC is greater than 1. D. APS is positive.