試題詳解

12. According to Friedman's permanent-income hypothesis, if the marginal propensity to consume out of permanent income equals 0.9 and current income equals $55,000 (of which $5,000 is transitory income), then consumption should equal:
(A) $5,000.
(B) $45,000.
(C) $49,500.
(D) $55,000.