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    Principles of Macroeconomics Study Set 12
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    Exam 8: Aggregate Expenditure and Equilibrium Output
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    If You Save $80 When You Experience a $400 Rise
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If You Save $80 When You Experience a $400 Rise

Question 6

Question 6

Multiple Choice

If you save $80 when you experience a $400 rise in your income,


A) your MPS is 0.25.
B) your MPC is 0.80.
C) your MPC is 0.85.
D) your MPS is 0.40.

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