In Our Simple Macro Model with Government and Foreign Trade,the

Multiple Choice

In our simple macro model with government and foreign trade,the marginal propensity to consume out of disposable income is ________ whereas the marginal propensity to consume out of national income is ________.

A) MPC; MPC(1 - t)
B) MPC(1 - t) ; MPC
C) MPC(1 - t) - m; MPC(1 - t)
D) MPC; MPC(1 - t) - m
E) MPC(1 - t) ; MPC(1 - t) - m