Question : If income is Rs.2000 and consumption is Rs. 1800. Calculate APC.
Option 1: 0.9
Option 2: 0.8
Option 3: 0.7
Option 4: None of the above.
Correct Answer: 0.8
Solution :
Question : If consumption expenditure is Rs. 50 crore at national income of Rs. 150, then APS is ____.
Option 1: 0.33
Option 2: 0.5
Option 3: 0.8
Question : When income rises from Rs. 5000 to Rs. 6000, savings rises by Rs. 600. Find MPC.
Option 1: 0.6
Option 2: 0.4
Question : Aggregate supply = ________________
Option 1: Consumption
Option 2: National income
Option 3: Both of the above.
Question : If disposable income is Rs.2000 and consumption expenditure is Rs.1650, find out average propensity to save.
Option 1: 1.75
Option 2: 0.175
Option 3: 1.21
Option 4: 2
Question : When income level is zero, the consumption is ___________.
Option 1: Positive
Option 2: Negative
Option 3: Zero
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