Question: When a $ 2 , 0 0 0 increase in income causes a $ 1 , 7 5 0 increase in consumption spending: Question 1
When a $ increase in income causes a $ increase in consumption spending:
Question options:
a
the marginal propensity to save MPS is
b
the marginal propensity to consume MPC is
c
the marginal propensity to consume MPC is
d
then MPC MPS
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