Home / Questions / The size of the marginal propensity to save A) is negative if dissaving is present. B)
The size of the marginal propensity to save
A) is negative if dissaving is present.
B) is between 0 and 1.
C) equals 1.
D) exceeds 1.
90) The MPS equals the ratio of
A) saving to real GDP.
B) the change in saving to the change in consumption expenditure.
C) saving to consumption expenditure.
D) None of the above answers is correct.
91) The marginal propensity to save equals the
A) change in savings resulting from a one dollar change in disposable income.
B) change in savings from a change in consumption expenditure.
C) average amount of income saved.
D) ability to save the same percentage of income each month.
92) When disposable income increases from $7 trillion to $7.5 trillion, consumption expenditure increase from $6.5 trillion to $6.9 trillion. The MPS is equal to
A) 0.75.
B) 0.76.
C) 0.8.
D) 0.2.
93) When disposable income equals $800 billion, planned consumption expenditure equals $600 billion, and when disposable income equals $1,000 billion, planned consumption expenditure equals $760 billion. What is the marginal propensity to save?
A) 0.80
B) 0.64
C) 0.25
D) 0.20
94) Suppose real GDP increases from $13 trillion to $14 trillion. Consequently, consumption expenditure increases from $13 trillion to $13.75 trillion. This result implies the MPS equals
A) 0.75.
B) 0.25.
C) 0.
D) some amount that cannot be determined without more information.
95) Between 2008 and 2009 the government reported that disposable income decreased by $300 billion and consumption expenditure decreased by $180 billion. Based on these data, the MPS equals
A) 2.5.
B) 0.40.
C) 0.60.
D) $120 billion.
96) The MPC and MPS measure changes in consumption expenditure and saving that result from changes in
A) expected inflation.
B) disposable income.
C) expected future income.
D) government expenditures on goods and services.
97) Which of the following is true?
A) MPS = MPC
B) MPS + MPC = 1
C) MPS + MPC = 0
D) MPS - MPC = 1
98) The MPC and MPS
A) sum to 1.
B) can sum to anything greater than 0.
C) sum to 100.
D) each are usually less than .5.
99) If the marginal propensity to save is 0.6, then the marginal propensity to consume is
A) 0.6.
B) 0.4.
C) 1.0.
D) not determinable.
100) For a household, the marginal propensity to save plus the marginal propensity to consume
A) equals 1.
B) equals 0.
C) equals a number that is larger the larger the household's disposable income.
D) equals a number that is smaller the larger the household's disposable income.
101) 1 - MPC equals
A) autonomous consumption.
B) the marginal propensity to save.
C) induced consumption.
D) the net national product.
102) If the MPC equals 0.75, then
A) for every $100 increase in consumption expenditure, disposable income increases by $75.
B) consumption expenditure is always more than disposable income.
C) for every $100 increase in disposable income, saving increases by $75.
D) for every $100 increase in disposable income, saving increases by $25.
Dec 07 2019 Read more Less More
Explain Herzberg's theory and discuss how a manager might approach resolving either an actual or a fictitious situation in which an employee is obviously dissatisfied. Ad...
Jun 01 2018On January 4 of this year, Diaz Boutique incurs a $105,000 cost to modernize its store. Improvements include new floors, ceilings, wiring, and wall coverings. These impro...
Jul 15 2020Given H = (3r2/ sin θ)aθ + 54r cos θaφ A/m in free space: (a) Find the total current in the aθ direction through the conical surface θ = 20◦, 0 ≤ φ ≤ 2π, 0 ≤ r ≤ 5, by wh...
Jun 14 2020JK Manufacturing is considering a new product and is unsure about its price as well as the variable cost associated with it. JK's marketing department believes that the f...
Apr 02 2020The CEO of a software company is committed to expanding the proportion of highly qualified women in the organization's staff of salespersons. He believes that the pro...
Apr 03 2020PROBLEM APPLICATION 4 CHAPTER 21 COST-VOLUME-PROFIT ANALYSIS, 100 POINTS. Use blue ink and present your handwritten solutions in good form (pdf or jpg file, proper und...
Apr 04 2020Classify each of the following as an operating, investing, or financing activity.a.Loaning moneyb.Receiving cash from customersc.Receiving interest revenued.Payments for ...
Dec 09 2019You estimate that a passive portfolio, that is, one invested in a risky portfolio that mimics the S&P 500 stock index, yields an expected rate of return of 12% with a sta...
May 21 2018For the spring-mass system shown in Figure P16–6, determine the mass displacement, velocity, and acceleration for five time steps using (a) the central difference method,...
Aug 01 2020The 1200-lb uniform plate ABCD can rotate freely about the hinge AB. The plate is supported by the cables DE and CE. If the working stress in the cables is 18 000 psi, de...
May 16 2020Welcome to MyCourseHelp Services, World's leading Academic solutions provider with Millions of Happy Students.