Find the consumption function, saving function. Calculate the marginal propensity to saving (MPS) when Y =100. Do you agree that the sum o MPS and MPC equal to one? Explain your answer.
Find the consumption function, saving function. Calculate the marginal propensity to saving (MPS) when Y =100. Do you agree that the sum o MPS and MPC equal to one? Explain your answer.
Chapter9: Aggregate Expenditures
Section: Chapter Questions
Problem 15E
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