Disposable Income Consumption
$5,000 $6,000
$7,500 $8,000
$10,000 $10,000
$12,500 $12,000
1. The marginal propensity to consume (MPC) is equal to:
a. 0.2
b. 0.25
c. 0.75
d. 0.8
2. The marginal propensity to save (MPS) is equal to:
a. 0.2
b. 0.25
c. 0.75
d. 0.8
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