Calculate the Marginal Propensity to Consume and the Marginal Propensity to Save. Fill in the blanks in the following table.  Show that the MPC plus the MPS equals 1. National Income & Real GDP (Y) Consumption (C) Saving (S) MPC MPS $9,000 $8,000       $10,000 $8,600       $11,000 $9,200       $12,000 $9,800       $13,000 $10,400

Economics For Today
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ISBN:9781337613040
Author:Tucker
Publisher:Tucker
Chapter19: The Keynesian Model In Action
Section: Chapter Questions
Problem 11SQ
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Calculate the Marginal Propensity to Consume and the Marginal Propensity to Save. Fill in the blanks in the following table.  Show that the MPC plus the MPS equals 1.



National Income & Real GDP (Y)

Consumption (C)

Saving (S)

MPC

MPS

$9,000

$8,000

     

$10,000

$8,600

     

$11,000

$9,200

     

$12,000

$9,800

     

$13,000

$10,400

     



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