Principles of Economics (12th Edition)
12th Edition
ISBN: 9780134078779
Author: Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher: PEARSON
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Chapter 23, Problem 1.2P
Fill in the aggregate saving column in the following table. Use the data in the table to calculate the consumption function and the saving function, and plot these functions as well as the 45-degree line on a graph. What are the values for the MPC and the MPS?
| Aggregate Income, Y | Aggregate Consumption, C | Aggregate Saving, S |
| $ 0 | $200 | |
| 100 | 250 | |
| 200 | 300 | |
| 300 | 350 | |
| 400 | 400 | |
| 500 | 450 | |
| 600 | 500 |
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