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Author Question: The Marginal Propensity to Consume and the Marginal Propensity to SaveIf disposable income decreases ... (Read 106 times)

yulisa3298

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on: Nov 23, 2022

Question 1

The Marginal Propensity to Consume and the Marginal Propensity to Save

If disposable income decreases by $90 million and saving decreases by $25 million, then the marginal propensity to consume (MPC) is ________. (Round to the nearest hundredth.)
◦ -0.28
◦ 0.02
◦ 0.72
◦ 0.28

Question 2

The Marginal Propensity to Consume and the Marginal Propensity to Save

If disposable income decreases by $110 million and consumption decreases by $65 million, then the marginal propensity to save (MPS) is ________. (Round to the nearest hundredth.)
◦ 0.59
◦ 1.69
◦ 0.69
◦ 0.41
Macroeconomics ¦ Acemoglu, Laibson, List ¦ 3rd Edition
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Marked as best answer by yulisa3298 on Nov 23, 2022

Karla347

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Reply #1 on: Nov 23, 2022
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yulisa3298

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Reply 2 on: Nov 23, 2022
YES! Correct, THANKS for helping me on my review

emsimon14

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Reply 3 on: Yesterday
Excellent

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