What is the level of autonomous consumption? What is the MPC? Whats MPC tell us?

Economics
Tutor: None Selected Time limit: 1 Day

Real Disposable Income

Consumption

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Oct 27th, 2014

C =100+0.5 Y

dC/dY = delta C /delta Y = 0.5

MPC = 0.5

It tells that consumption increases by 50 cents for each additional dollar of income.

Oct 27th, 2014

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Oct 27th, 2014
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Oct 27th, 2014
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