Khan, Sal. (2014). “Consumption Function Basics.” Khan Academy. https://www.khanacademy.org/economics-finance-domain/macroeconomics/income-and-expenditure-topic/macroeconomics-the-consumption-function/v/consumption-function-basics
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video khan( 2014) the presenter talks about the consumption function. he explains how the consumption is related to the disposable income.
equation of consumption: C= C0 +0.6(disposable income). the disposable income is equal to total income – tax. 0.6 represent the marginal propensity to consume. MPC is the change in consumption when income change.