1 Marginal Propensity to Consume for a Sample of Kansas Farms

make verbatim copies of this document for non-commercial purposes by any means, provided that this copyright notice appears on all such copies. 2 Marginal Propensity to Consume for a Sample of Kansas Farms This paper examined the marginal propensity to consume (MPC) for a sample of Kansas farms. Sensitivity of estimated MPCs to the use of accrual net farm income, net cash farm income, and the inclusion of off-farm income was also examined. Results yielded a range of short-run MPCs from 0.011 to 0.015. Statistical tests suggested that the income coefficients used to compute short-run MPCs were not statistically different.