Refer to the above table. The table gives the combinations of real disposable income and real consumption for a college student for a year. What is the value of the average propensity to consume when real disposable income equals 14,000?
A) 0.91 B) 1.1 C) 0.09 D) 0.7
Question 2
The purchasing power of the dollar
A) varies directly with the purchasing power of other major currencies such as the euro and the Japanese yen.
B) varies inversely with the price level.
C) varies directly with the price level.
D) varies directly with the price of gold.
The Inverted Income Pyramid: The Proportion of Income Received by Each Fifth of the U.S. Population
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