Question 4 (1 point) Saved If consumption expenditure for a household increases from $300 to $525 when disposable income increases from $200 to $500, the marginal propensity to consume is equal to 1.33. equal to 0.75. equal to 0.67. equal to 1. negative.
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The change in consumption expenditure is equal to the final consumption expenditure minus the initial consumption expenditure. Change in consumption expenditure = $525 - $300 = $225 Show more…
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