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The Table Given Below Shows the Values of Different Components  (Trillions of Dollars) \text { (Trillions of Dollars) }

Question 62

Multiple Choice

The table given below shows the values of different components of aggregate expenditure of an economy.The marginal propensity to save (MPS) equals _____.
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Table 9.2
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 (Trillions of Dollars)  \text { (Trillions of Dollars) }
 Rea  Net  Disposab  Consumpti  Savin  Planned  Governme  Net  Planned 1 Taxe  le  on  g  Investme  nt  Export  Aggregate GD s  Income  (C)   (S)   nt  Purchases  s  Expenditures P(NT) (YNT)  (I)   (G)  (XC+I+G+(X(Y)  M)  M) 5.01.04.03.90.11.01.00.75.25.51.04.54.30.21.01.00.75.66.01.05.04.70.31.01.00.76.06.51.05.55.10.41.01.00.76.47.01.06.05.50.51.01.00.76.8\begin{array}{llccccccc}\text { Rea } & \text { Net } & \text { Disposab } & \text { Consumpti } & \text { Savin } & \text { Planned } & \text { Governme } & \text { Net } & \text { Planned } \\1 & \text { Taxe } & \text { le } & \text { on } & \text { g } & \text { Investme } & \text { nt } & \text { Export } & \text { Aggregate } \\\mathrm{GD} & \text { s } & \text { Income } & \text { (C) } & \text { (S) } & \text { nt } & \text { Purchases } & \text { s } & \text { Expenditures } \\\mathrm{P} & (\mathrm{NT}) & (\mathrm{Y}-\mathrm{NT}) & & & \text { (I) } & \text { (G) } & (\mathrm{X}- & \mathrm{C}+\mathrm{I}+\mathrm{G}+(\mathrm{X}- \\(\mathrm{Y}) & & & & & & & \text { M) } & \mathrm{M}) \\\hline 5.0 & 1.0 & 4.0 & 3.9 & 0.1 & 1.0 & 1.0 & -0.7 & 5.2 \\5.5 & 1.0 & 4.5 & 4.3 & 0.2 & 1.0 & 1.0 & -0.7 & 5.6 \\6.0 & 1.0 & 5.0 & 4.7 & 0.3 & 1.0 & 1.0 & -0.7 & 6.0 \\6.5 & 1.0 & 5.5 & 5.1 & 0.4 & 1.0 & 1.0 & -0.7 & 6.4 \\7.0 & 1.0 & 6.0 & 5.5 & 0.5 & 1.0 & 1.0 & -0.7 & 6.8\end{array}


A) 0.80 or 4/5
B) 0.60 or 3/5
C) 0.40 or 2/5
D) 0.10 or 1/10
E) 0.20 or 1/5

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