Disposable Income $200 226 250 275 300 Consumption $205 3. a) Refer to the above data....

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Disposable Income $200 226 250 275 300 Consumption $205 3. a) Refer to the above data. The marginal propensity to consume is: (15 Points) A. .25 B..75. C. 20. D..80. 245 265 286 b) Refer to the above data. At the $200 level of disposable income: A. the marginal propensity to save is 2% percent. B. dissaving is $5. C. the average propensity to save is 20. D. the average propensity to consume is .80. Disposable Income $0 50 100 150 200 c) Refer to the above data. If disposable income was $325, we would expect consumption to be: A. $315. B. $305. C. $20. D. $290. Answer the next question(s) on the basis of the following data for a hypothetical economy. Saving -$10 0 10 20 30 4. a) Refer to the above data. The marginal propensity to consume is: (15 Points) A..80. B..75. C..20. D..25. b) Refer to the above data. At the $100 level of income, the average propensity to save i A.10 B..20. C. 25 D..90. 5. a) If the MPC is .70 and investment increases by $3 billion, the equilibrium GDP wilt (15 Points) A increase by $10 billion. B. Increase by $2.10 billion. C. decrease by $4.29 billion. D. increase by $4.29 billion. b) If the MPC is .6, the multiplier will be: A. 4.0. B. 6.0. C. 2.5. D. 1.67. c) Assume the MPC is 2/3. If investment spending increases by $2 billion, the level of GDP will increase by. A. $3 billion. B. $2/3 billion. C. $6 billion. D. $2 billion. 6. Discuss the options used by fiscal policy to stabilize the economy. (10 Points) 7. Using examples, evaluate the five characteristics of a good medium of exchange. (15 Points) Disposable Income $200 226 250 275 300 Consumption $205 3. a) Refer to the above data. The marginal propensity to consume is: (15 Points) A. .25 B..75. C. 20. D..80. 245 265 286 b) Refer to the above data. At the $200 level of disposable income: A. the marginal propensity to save is 2% percent. B. dissaving is $5. C. the average propensity to save is 20. D. the average propensity to consume is .80. Disposable Income $0 50 100 150 200 c) Refer to the above data. If disposable income was $325, we would expect consumption to be: A. $315. B. $305. C. $20. D. $290. Answer the next question(s) on the basis of the following data for a hypothetical economy. Saving -$10 0 10 20 30 4. a) Refer to the above data. The marginal propensity to consume is: (15 Points) A..80. B..75. C..20. D..25. b) Refer to the above data. At the $100 level of income, the average propensity to save i A.10 B..20. C. 25 D..90. 5. a) If the MPC is .70 and investment increases by $3 billion, the equilibrium GDP wilt (15 Points) A increase by $10 billion. B. Increase by $2.10 billion. C. decrease by $4.29 billion. D. increase by $4.29 billion. b) If the MPC is .6, the multiplier will be: A. 4.0. B. 6.0. C. 2.5. D. 1.67. c) Assume the MPC is 2/3. If investment spending increases by $2 billion, the level of GDP will increase by. A. $3 billion. B. $2/3 billion. C. $6 billion. D. $2 billion. 6. Discuss the options used by fiscal policy to stabilize the economy. (10 Points) 7. Using examples, evaluate the five characteristics of a good medium of exchange. (15 Points)

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The detailed answer for the above question is provided below 3 a Refer to the above data The marginal propensity to consume is 15 Points A 25 The marginal propensity to consume MPC is a measure of how ... View the full answer