Suppose that Y=MX+b, where Y=consumption, b=consumption at zero income, M=slope, and X=income (i) Are Y and X positively related or are they negatively related? (ii) If graphed, would the curve for this equation slope upward or slope downward? (iii) Are the variables Y and X inversely related or directly related? (iv) What is the value of Y if b=10, M=.50, and X=200? (v) What is the value of X if Y=100, b=10, and M=.25?

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