12 Study the following diagram and answer the question that follows. Expenditures (billions of dollars per year) 3500 3000 2500 2000 1500 1000 500 Figure 9.1 500 1000 1500 2000 2500 3000 3500 Income (billions of dollars per year) At an income level of $2,000 billion, a) Consumption equals $1,500 billion. b) Saving equals $0. c) The MPC equals 0.80. d) There is dissaving.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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1.12 Study the following diagram and answer the question that follows.
Expenditures
(billions of dollars per year)
> >
3500
3000
2500
2000
1500
1000
500
Figure 9.1
500 1000 1500 2000 2500 3000 3500
Income
(billions of dollars per yazari
At an income level of $2,000 billion,
a) Consumption equals $1,500 billion.
b) Saving equals $0.
c) The MPC equals 0.80.
d) There is dissaving.
F
뉴
C
connex
Transcribed Image Text:1.12 Study the following diagram and answer the question that follows. Expenditures (billions of dollars per year) > > 3500 3000 2500 2000 1500 1000 500 Figure 9.1 500 1000 1500 2000 2500 3000 3500 Income (billions of dollars per yazari At an income level of $2,000 billion, a) Consumption equals $1,500 billion. b) Saving equals $0. c) The MPC equals 0.80. d) There is dissaving. F 뉴 C connex
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