Question: 1. If the national consumption function is given by C(y) = 2(y + 1)1/2 + 0.4y + 4 find the marginal propensity to consume, dC/dy.

1. If the national consumption function is given by
C(y) = 2(y + 1)1/2 + 0.4y + 4
find the marginal propensity to consume, dC/dy.
2. Suppose that the demand function for q units of an appliance priced at $p per unit is given by
p = 400(q + 1) / (q + 2)2
Find the rate of change of price with respect to the number of appliances.

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