If entire additional income is saved then MPC is:(a). Zero (b). one(C). Infinity (d). Between 0 and 1

If the MPC is 0.95, then a $12 million increase in disposable income will: a. increase consumption by $950 million. b. increase saving by $11.4 million. c. increase saving by $0.6 million. d. increase consumption by $6 million.

With an MPC of 0.6, the expenditures multiplier will be equal to

The following table shows the relationship between income and consumption in an economy.Income (Y)(in billions of dollars)Consumption (C) (in billions of dollars)051011201730234029503560417047805390 59100 65Assume that investment (I) is $5 billion, government purchases (G) are $4 billion, and net exports (X) are $2 billion.What is the numerical value of the MPC (stated as a decimal)?MPC =

If short-run equilibrium output equals 10,000, the income-expenditure multiplier equals 5, the MPC equals .8, and potential output (Y*) equals 9000, then taxes must ______ by ________ to eliminate any output gap.Group of answer choicesdecrease, 20increase, 200increase, 225increase, 250decrease, 200

If the MPC is 0.8 and disposable income is $200, thenMultiple Choicesaving will be $20.saving will be $40.consumption and saving cannot be determined from the information given.personal consumption expenditures must be $160.