At which income level does consumption equal income in table 9.1?

Question

asked Mar 5, 2019 99.9k views

1 Answer

Stephen Last · Answer 1 · 2019-03-11T19:08:49+0000

Consumption equals disposable income when APC is equal to 1. Given the above consumption function of C = $50 + 0.8YD, and since the APC equals 1, then YD = C and you can substitute YD for C in the equation.

At which income level does consumption equal income in table 9.1?

0 Comments

Please log in or register to add a comment.

Please log in or register to answer this question.

1 Answer

0 Comments

Please log in or register to add a comment.

No related questions found

Other Questions