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An increase of R5 billion in income in a macroeconomy leads to an increase in R3 billion in consumption spending. From this information, we can determine that the marginal propensity to save in this economy is:
(a) 0.6;
(b) 0.5;
(c) 0.3;
(d) 0.4.
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- firm decides to invest X units of capital in Project A and Yunits of labour in Project B. iv. The expected return for each unit of investment is $500 in Project A and $1500 in Project B. However in order to meet the expectations of the firm's ethical and environmental policy values of X and Y must satisfy the constraint x+y-5x-6y= 210. How many units of each type should firm buy in other to maximize total volume? What is the implication of a unit change in investment in capital and (or) Labour Economic Analysis?Disposable income - 200, 225, 250, 275, 300 Consumption - 205, 225, 245, 265, 285 Refer to the above data. The marginal propensity to consume is;provide a critical discussion of the adjustments to the 2020/21 operational expenditure, including the major considerations for these adjustments
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