Disposable income-consumption and saving in some country

Assignment Help Business Economics

Reference no: EM131098926

Suppose that disposable income, consumption, and saving in some country are $400 billion, $350 billion, and $50 billion, respectively. Next, assume that disposable income increases by $40 billion, consumption rises by $32 billion, and saving goes up by $8 billion. What is the economy’s MPC? Its MPS?

a) MPC =

b) MPS =

c) APC before the increase in disposable income? =

d) APC after the increase in disposable income? =

Reference no: EM131098926

Questions Cloud

Discuss the goals challenges and tactics of labor movement : Describe some of the ways Southern Democrats maintained their white hegemony. Discuss the goals, challenges, and tactics of the Labor movement. Be sure to include the names of the prominent Unions and events.

Book name-essentials of negotiation : Explain the different approaches to defining power in negotiations and why power is critical to negotiation. What are the different sources or bases of power in negotiation.

The capital stock-savings and consumption in the long run : Suppose there is a permanent increase in the price of oil (i.e. energy prices). If prior to the price increase the economy was in steady state, how should it a§ect output, the capital stock, savings and consumption in the long run?

Discussions list-integrative project : Please provide a definition of "organizational learning."There are many, many, differing definitions of OL - and many opinions on precisely how organizations learn (or if they can even learn at all). Some notable theorists include Chris Argyris, P..

Disposable income-consumption and saving in some country : Suppose that disposable income, consumption, and saving in some country are $400 billion, $350 billion, and $50 billion, respectively. Next, assume that disposable income increases by $40 billion, consumption rises by $32 billion, and saving goes up ..

Threatened strike or lockout deadline : If one bargaining party made one last compromise proposal prior to a threatened strike or lockout deadline, would you be more likely to interpret such an offer as a sign of the proposing party's weakness or an honest intent to reach a reasonable s..

How would this impact other aspects of the promotional mix : Discuss how the aspects of differentiation and positioning will impact the acceptance of this product by the desired target market. What must the company consider in terms of its products and the competitor products when entering the market?

Present a strategic human resource plan : In a 4- to 5-page paper, present a strategic human resource plan considering the following issues:

Calculate the hourly tax saving resulting from depreciation : A company having a cost of capital rate of 8 % purchases a $300,000 tractor. This machine has an expected service life of 4 years and will be used 2,500 hr per year. The tires on this machine cost $45,000. The estimated salvage value at the end of 4 ..

User Account

All Pages