The MPC is the fraction of
A. total disposable income that is consumed.
B. total disposable income that is not consumed.
C. a change in disposable income that is consumed.
D. a change in disposable income that is saved.
Answer:C
The MPC is the fraction of
A. total disposable income that is consumed. B. total disposable income that is not consumed. C. a change in disposable income that is consumed. D. a change in disposable income that is saved.