Suppose that disposable Income, consumption, and saving in some country are $800 bllion, $700 billion, and $100 billion, respectively. Next, assume that disposable Income increases by $80 billion, consumptlon rises by $72 billion, and saving goes up by $8 billion. a. What is the economy's MPC? Instructlons: Round your answers to 2 decimal places. MPC = What Is its MPS? MPS = b. What was the APC before the Increase in disposable income? Instructions: Round your answer to 2 decimal places. АРC before 3D What was the APC after the increase? Instructions: Round your answer to 3 decimal places. APC after =
Suppose that disposable Income, consumption, and saving in some country are $800 bllion, $700 billion, and $100 billion, respectively. Next, assume that disposable Income increases by $80 billion, consumptlon rises by $72 billion, and saving goes up by $8 billion. a. What is the economy's MPC? Instructlons: Round your answers to 2 decimal places. MPC = What Is its MPS? MPS = b. What was the APC before the Increase in disposable income? Instructions: Round your answer to 2 decimal places. АРC before 3D What was the APC after the increase? Instructions: Round your answer to 3 decimal places. APC after =
Chapter1: Making Economics Decisions
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Problem 1QTC
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![Suppose that disposable Income, consumption, and saving in some country are $800 billion, $700 billion, and $100 billion,
respectively. Next, assume that disposable Income Increases by $80 billion, consumption rises by $72 billion, and saving goes up by
S8 billion.
a. What is the economy's MPC?
Instructlons: Round your answers to 2 decimal places.
MPC =
What Is Its MPS?
MPS =
b. What was the APC before the Increase In disposable Income?
Instructlons: Round your answer to 2 decimal places.
APC before =
What was the APC after the Increase?
Instructlons: Round your answer to 3 decimal places.
APC after =](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F2cd16166-a3de-4e86-b964-f3999b18fb2b%2F6c5a396e-be4c-43b0-b686-c6e552e024ee%2Fb7lx9to_processed.png&w=3840&q=75)
Transcribed Image Text:Suppose that disposable Income, consumption, and saving in some country are $800 billion, $700 billion, and $100 billion,
respectively. Next, assume that disposable Income Increases by $80 billion, consumption rises by $72 billion, and saving goes up by
S8 billion.
a. What is the economy's MPC?
Instructlons: Round your answers to 2 decimal places.
MPC =
What Is Its MPS?
MPS =
b. What was the APC before the Increase In disposable Income?
Instructlons: Round your answer to 2 decimal places.
APC before =
What was the APC after the Increase?
Instructlons: Round your answer to 3 decimal places.
APC after =
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