Higher values for marginal propensity to consume (MPC) suggest that output is highly responsive to changes in autonomous spending. This means that when there is an increase in autonomous spending, such as government spending or consumer spending, it will lead to a larger increase in output.

- The concept of marginal propensity to consume refers to the proportion of additional income that is spent by consumers rather than saved. In other words, it measures how much each additional unit of income is consumed.

- A higher MPC indicates that a larger proportion of additional income is being spent, which in turn leads to a higher level of consumption and overall output in the economy.

- When the MPC is high, it implies that consumers are more willing to spend their additional income rather than save it. This increased spending stimulates demand for goods and services, leading to higher production and output levels.

- On the other hand, if the MPC is low, it suggests that consumers are more inclined to save their additional income rather than spend it. This leads to a lower level of consumption and overall output in the economy.

- The relationship between the MPC and output is captured by the multiplier effect. The multiplier effect states that an initial increase in autonomous spending will lead to a larger increase in total output. The magnitude of this multiplier is determined by the MPC.

- For example, if the MPC is 0.8, it implies that for every additional unit of income, consumers will spend 80% of it. This increase in consumption will then create additional income for producers, who in turn spend a portion of it, leading to further increases in output.

- In contrast, if the MPC is low, such as 0.2, it suggests that consumers will only spend 20% of their additional income. This lower level of consumption will result in a smaller increase in output.

- Therefore, a higher value for the MPC indicates a higher level of responsiveness of output to changes in autonomous spending. This highlights the importance of consumer spending in driving economic growth and the overall health of the economy.

In conclusion, higher values for marginal propensity to consume suggest that output is highly responsive to changes in autonomous spending. This indicates that an increase in autonomous spending will lead to a larger increase in output, highlighting the importance of consumer spending in driving economic growth.