Q1 suppose that disposable income consumption and saving in

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Q1. Suppose that disposable income, consumption, and saving in some country are $200 billion, $150 billion, and $50 billion, respectively. Next, assume that disposable income increases by $20 billion, consumption rises by $18 billion, and saving goes up by $2 billion. What is the economy's MPC? It's MPS? What was the APC before the increase in disposable income? After the increase?

Q2. What is the biggest disadvantage of using shells as money?

Reference no: EM13354821

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