Suppose When John's Income Increases from $10,000 to $15,000, His

question 224

Multiple Choice

Suppose when John's income increases from $10,000 to $15,000, his consumption increases from $3,000 to $4,500. What is the value of his marginal propensity to save?

• A) 0.7
• B) 0.3
• C) 0.2
• D) 0.8

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Definitions:

Macula Densa Cells

Specialized cells located in the distal convoluted tubule of the kidney that help regulate blood pressure and filtration rate.

Juxtaglomerular Cells

Specialized cells in the kidney that help regulate blood pressure by secreting renin.

Renal Corpuscle

The initial filtering component of the nephron in the kidney, consisting of the glomerulus and Bowman's capsule.

Filtration Slits

Narrow openings between the extensions of the podocytes in the kidney that filter blood to form urine.