Author Question: In the Keynesian consumption function, if current income is equal to zero, consumption spending is ... (Read 146 times)

Starlight

  • Hero Member
  • *****
  • Posts: 567
In the Keynesian consumption function, if current income is equal to zero, consumption spending is equal to ________.
 
  A) the marginal propensity to consume
  B) the average propensity to save
  C) autonomous consumption
  D) exogenous consumption

Question 2

John Maynard Keynes described periods of irrational pessimism and optimism that affect the investment behavior of firms as animal spirits. When considering the investment behavior of firms, animal spirits can be thought of as changes in the
 
  A) actual marginal product of capital.
  B) capital stock.
  C) expected marginal product of capital.
  D) user cost of capital.



Kaytorgator

  • Sr. Member
  • ****
  • Posts: 345
Answer to Question 1

C

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

A good example of polar molecules can be understood when trying to make a cake. If water and oil are required, they will not mix together. If you put them into a measuring cup, the oil will rise to the top while the water remains on the bottom.

Did you know?

It is important to read food labels and choose foods with low cholesterol and saturated trans fat. You should limit saturated fat to no higher than 6% of daily calories.

Did you know?

On average, the stomach produces 2 L of hydrochloric acid per day.

Did you know?

Thyroid conditions may make getting pregnant impossible.

Did you know?

The B-complex vitamins and vitamin C are not stored in the body and must be replaced each day.

For a complete list of videos, visit our video library