If disposable income is $375 billion when the average propensity to consume is 0.8, it can be concluded that

If disposable income is $375 billion when the average propensity to consume is 0.8, it can be concluded that




A) the marginal propensity to consume is also 0.8
B) the marginal propensity to save is 0.2
C) consumption is $325 billion
D) saving is $75 billion





Answer: D


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