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2.2 Aggregate demand (AD)

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Question 4

Table 2: Marginal propensity to consume (mpc) in Nation Z

YearMarginal propensity to consume (mpc)
20180.85
20190.82
20200.78
20210.74
20220.70
20230.65

Explain one possible reason for the changes in the marginal propensity to consume as shown in Table 2.

[2]

2.2 Aggregate demand (AD) Questions

  1. A Level
  2. /Economics
  3. /2.2 Aggregate demand (AD)