Exploring Macroeconomics
Exploring Macroeconomics
8th Edition
ISBN: 9781544337722
Author: Robert L. Sexton
Publisher: SAGE Publications, Inc
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Chapter 15, Problem 5P
To determine

To explain:

The change in autonomous consumption if there is an increase in real wealth and a positive future is expected.

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What is the consumption function? What is the marginal propensity to consume? What does an upward-sloping consumption function mean?
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