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CBSE 2017 Class 12 Economics Outside Delhi Set-1

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Question : 2 of 18
Marks: +1, -0
Define marginal propensity to consume.
Solution:  
MPC is the ratio of change in consumption to change in income. Symbolically,
MPC=  ΔCΔYMPC = \; \frac{\Delta C}{\Delta Y}
Where, ΔC=   change in consumption   \Delta C = \; \text{ change in consumption } \;
ΔY=\Delta Y = change in income
MPC == Marginal propensity to consume.
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