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Given the following income, spending, and savings data, please answer parts a-g below : Disposable Income (DI) Consumption (C) Savings (S) $ 0 $. 40000 _________ $100000 $100000 _________ $200000 $160000 _________ $300000 $220000 _________ $400000 $280000 _________ a. Solve for savings at each level of disposable income (DI). b. Solve for the marginal propensity to consume (MPC) and the marginal propensity to save (MPS) between each disposable income level. c. Solve for the average propensity to consumer (APC) and the average propensity to save (APS) at each level of disposable income. d. State the numerical value for the break-even level of disposable income in this example. e. State the numerical value for the autonomous consumption in this example. f. Using the data from the table, graph the consumption line. g. Using the data from the table, graph the savings line.
Give me answer part: A ,B ,C
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- 9- 9 - What is the ratio of savings to disposable income called? a) MPS B) cY NS) APS D) MRI TO) NSarrow_forwardhelp please answer in text form with proper workings and explanation for each and every part and steps with concept and introduction no AI no copy paste remember answer must be in proper format with all workingarrow_forwardFill in the blanks in the following table. Assume for simplicity that taxes are zero. Also assume that the values represent billions of 2012 dollars. (Round your responses to the nearest whole number.) Saving (5) Real GDP (Y) $800 $900 $1,000 $1,100 $1,200 Consumption (C) $640 $720 $800 $880 $960arrow_forward
- if Government Spending (G) is $200 million, Tax Revenue (T) is $260 millio Consumption is $300 million, and GDP P(Y) is 780 millionPrivate saving isarrow_forwardOutput/Income Consumption Savings MPC MPS APC APS 0 80 0-80 = -80 - - - - 100 140 100-140 = -40 0.6 0.4 1.4 -0.4 200 200 200-200=0 0.6 0.4 1 0 300 260 300-260=40 0.6 0.4 0.8666666667 0.1333333333 400 320 400-320=80 0.6 0.4 0.8 0.2 a. Assume Y= 400 Calculate the level of Consumption Hint: plug in 400 for Y into the Consumption and Savings equations, Also, calculate the following APC (C/Y); APS (S/Y) b. Calculate the Multiplier 1/(1-MPC) c. Assume Y= C + I + G + X I=20; G=30 X=0 Use the equation derived in (d) above; use this to Plug in the value of C into the equation. I=Busines Investments G= Government Spending X=Net exportsarrow_forwardNote:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.arrow_forward
- Typed and correct answer please. I ll ratearrow_forwardA consumption tax that replaces an income tax a) only taxes a household on the money it spends. b) discourages saving. c) would likely result in a lower level of saving than an income tax. d) ultimately taxes income twice—once when the household pays income tax and once when the household makes a purchasearrow_forwardProblem 3 Given the below data Disposable Income Consumption expenditure (dollars) 0. 100 100 180 200 260 300 340 400 420 500 500arrow_forward
- Solve it correctly please. I will rate accordingly.arrow_forwardIf consumption of household is $3500 and income is $5000 Calculate savingarrow_forwardGiven Table 12-5 below, fill in the values for saving. Assume there are no taxes. Table 12-5 National Income $7,500 8,000 8,500 9,000 Consumption $5,400 5,800 6,200 6,600 Use the editor to format your answer Savingarrow_forward