Match List-I with List-II

Choose the correct answer from the options given below :

(A)-(II), (B)-(III), (C)-(I), (D)-(IV)

The correct answer is option (D) : (A)-(II), (B)-(III), (C)-(I), (D)-(IV)

-A-II : MPC (Marginal Propensity to Consume) is the change in consumption divided by the change in income $\frac{Δc}{Δy}$

- B-II : AD (Aggregate Demand ) is the sum of consumption and investment (C+I).

- C- I : k= $\frac{1}{1-MPC}$

- D-IV : If MPC is 0, meaning there is no change in consumption with a change in income, the multiplier (k) will become 1