Test RCC MACRO E G C1 Question Completion Status Secure l h

Test: RCC MACRO E) × G C/1 Question Completion Status Secure l https://sunyrockland.open.suny.edu/webapps/assessment/take/l Figure 9-1 45° Line Consumption Dispo sable Personal Income (dollars) In Figure 9-1, at any point to the left of point B, a saving occurs b autonomous consumption is less than zero. c consumption is greater than disposable income d disposable income is greater than consumption e autonomous consumption is zero QUESTION 2

Solution

c is correct

Consumption is greater than disposable income.

45 degree line shows the equality of consumption expenditure and disposable income. Any point to the left of B shows that consumption is higher and any point to the right of B shows that disposable income is higher.