Question: Marginal Propensity to Save Suppose C ( x ) measures an economy's personal consumption expenditure and x the personal income, both in billions of dollars.

Marginal Propensity to Save
Suppose C(x) measures an economy's personal consumption expenditure and x the personal income, both in billions of dollars. Then the following function measures the economy's savings corresponding to an income of x billion dollars.
S(x)= x - C(x)(income minus consumption)
The quantity
dSdx
below is called the marginal propensity to save.
dSdx
=1
dCdx
For the following consumption function, find the marginal propensity to save when x =5.(Round your answer to three decimal places.)
C(x)=0.875x1.1+15.6
$ billion per billion dollars

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