The marginal propensity to consume (MPC) is the
A) fraction of additional income that is spent.
B) fraction of additional consumption that is not based on the level of income.
C) ratio of consumption to savings.
D) ratio of consumption to income.
A
Economics
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When the Federal Reserve conducts open market purchases to increase bank reserves without trying to alter the interest rate that is already close to zero, the policy action is called
A) qualitative easing. B) quantitative easing. C) qualitative tightening. D) quantitative tightening.
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The addition to a business firm's total costs, that comes from producing one more unit of output, is its:
a. total variable cost. b. marginal cost. c. sunk cost. d. opportunity cost. e. total fixed cost
Economics