Question 1
If income increases by $750, we know that the change in
◦ consumption, saving, and imports equals $750.
◦ consumption and saving is greater than $750.
◦ consumption, saving, and imports is greater than $750.
◦ consumption, saving, imports, and exports is less than $750.
Question 2
If the
MPS is 0.3 and the
MPC is 0.5, then the
MPM
◦ is 0.1.
◦ is 0.2.
◦ is 0.8.
◦ cannot be determined from the given information.