Advertisements
Advertisements
प्रश्न
Distinguish between Average propensity to consume and Marginal propensity to consume.
Advertisements
उत्तर
Average propensity to consume and Marginal propensity to consume.
| Basis of difference | Average propensity to consume | Marginal propensity to consume |
| Meaning | It shows the ratio of consumption expenditure to the level of income | It refers to the ratio of change in the consumption expenditure to the change in the disposable income |
| Formula | `APC=C/Y` | `MPC=(ΔC)/(ΔY)` |
shaalaa.com
क्या इस प्रश्न या उत्तर में कोई त्रुटि है?
