Amount autonomous consumption
Suppose the consumption function is C= $300+0.8Y
What is the amount autonomous consumption?
What is the marginal propensity to consume?
What would consumption equal when real GDP equals $2000?
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Schools must meet new federal requirements but have not been funded to provide the training or equipment needed to meet them. What are the legal and ethical issues? Their funding, inadequate though it may be, is at risk.
What is the amount autonomous consumption? What is the marginal propensity to consume? What would consumption equal when real GDP equals $2000?
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