Suppose Measures an Economy's Personal Consumption Expenditure and X

question 36

Multiple Choice

Suppose measures an economy's personal consumption expenditure and x the personal income, both in billions of dollars.Then, measures the economy's savings corresponding to an income of x billion dollars.Then . The quantity dS/dx is called the marginal propensity to save.
For the consumption function , find the marginal propensity to save.

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Definitions:

Favorable Relationship

Describes a positive and beneficial connection or interaction between individuals, groups, or entities, often leading to mutual benefits and satisfaction.

Proactive

Taking initiative by acting in anticipation of future problems, needs, or changes rather than reacting to events after they occur.

Low-Quality Exchange

A relationship characterized by minimal trust, respect, and commitment, often resulting in poor cooperation and communication.

Standard Benefits

Typical or customary advantages provided to employees beyond their wages, such as health insurance, retirement plans, and paid time off.