Ec2050 Chapter 14 Quiz

Written: Jan 12, 2019 4:25 AM - Jan 12, 2019 5:23 AMSubmission ViewYour quiz has been submitted successfully.Question 12 / 2 pointsAggregate expenditure is equal toA) Y + C + I + G + NX.B) C + I + G + NX.C) C + I + G - NX.D) C - I - G - NX.E) C + I + G.Question 22 / 2 pointsThe consumption function shows the relationship betweenA) consumption expenditure and disposable income.B) consumption expenditure and planned inventory investment.C) consumption expenditure and the price level.D) consumption expenditure and planned income.E) inventory levels and real GDP.Question 32 / 2 pointsOn a graph of the consumption function, where the consumption function crosses the 45 degree line,A) induced consumption equals zero.B) there are no tax payments.C) disposable income is zero.D) there is no saving and no dissaving.E) the maximum level of disposable income is earned.Question 42 / 2 pointsThe marginal propensity to consume equalsA) the change in consumption expenditure divided by the change in disposable income.B) consumption expenditure divided by disposable income.C) consumption expenditure divided by the change in disposable income.D) the change in