The-definition.com

Definition

Marginal propensity to consume

Marginal propensity to consume is the slope of the consumption function line that measure the change in consumer expenditure resulting from an additional dollar of disposable income.

Share it:  Cite

More from this Section

  • Venture Capital
    Venture Capital is the money invested by big firms or individuals in start-ups and small ...
  • Unfair Calling Insurance
    Unfair Calling Insurance is insurance coverage to protect principals who have issued demand ...
  • Unbundling
    Unbundling— dividing cash flows from an affiliate to a parent into their many separate ...
  • Absolute priority
    Absolute priority refers rule in bankruptcy proceedings requiring senior creditors to ...
  • Joint Stock
    Joint Stock is a form of business in which the company’s assets are jointly divided ...