Assume that the level of autonomous consumption in an economy equals 400, the level of planned investment = 400.Calculate the marginal propensity to consume, if the level of income equals 2,000?Provide answer to one decimal point.
Question
Assume that the level of autonomous consumption in an economy equals 400, the level of planned investment = 400.Calculate the marginal propensity to consume, if the level of income equals 2,000?Provide answer to one decimal point.
Solution
The question seems to be missing some information. The marginal propensity to consume (MPC) is calculated as the change in consumption divided by the change in income. However, the question does not provide information on the change in consumption or income. Could you please provide more details?
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