Question

Diagrammatically represent a Keynesian linear consumption function and show how it is affected

when MPC changes.​

Answer 1

Answer:

jdjdnekdkndncosndndkendnckdnd

Answer 2

The term "consumption function" refers to the standard equation of consumption that specifies the link between consumption and income and allows consumption value to be calculated at each level using income value.

C= c+ bY, where c represents autonomous consumption, b represents marginal inclination to consume, and Y represents income.

MPC=0.6 and autonomous consumption is 60 crores.

Determine consumption based on various amounts of income.

Earnings (Y) (Rs. Crores)

Consumption(C)        (Rs. Crores)

(Rs. Crores)                C=c¯+b(Y) C=c¯+b(Y)

0                                   60(=60+0.6×0)60(=60+0.6×0)

100                             120(=60+0.6×100) 120(=60+0.6×100)

200                          180(=60+0.6×200) 180(=60+0.6×200)

300                           240(=60+0.6×300) 240(=60+0.6×300)

400                           300(=60+0.6×400)

Learn more about marginal inclination  from here;

https://brainly.in/question/14658989

#SPJ2