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What is the purpose of using digital encoding schemes?
Consumption Function
An economic formula representing the relationship between total consumption and gross national income.
Marginal Propensity to Save
The fraction of an increase in income that is saved by an individual or population, representing how savings change with changes in disposable income.
Consumption Function
The consumption function is an economic formula that represents the relationship between total consumption and gross national income, predicting consumer spending.
Marginal Propensity to Consume
The ratio of change in consumption to the change in disposable income, indicating how much income will be spent rather than saved.
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