What impact on the value of total consumption in the economy

Reference no: EM13238518

The marginal propensity to consume is the amount that will be consumed out of each additional dollar earned.

Suppose that the MPC has a value of 0.95. If this is true, then a $10 million increase in disposable income (YD) will have what impact on the value of total consumption in the economy?

Reference no: EM13238518

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