Question

relationship between the marginal propensity to consume and the consumption function

Answer 1

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relationship between the marginal propensity to consume and the consumption function

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उपभोग करने के लिए सीमांत प्रवृत्ति और खपत समारोह के बीच संबंध

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Consumption tends to increase as income increases. The more people make, the more they spend and the more the economy grows. ... Average propensity to consume is the ratio of income allocated towards consumption rather than saving. Marginal propensity to consume is the change in consumption when income changes.