An upward shift of the saving schedule suggests:
A) nothing with respect to changes in the APC and APS.
B) that the APC and APS have both decreased at each GDP level.
C) that the APC and APS have both increased at each GDP level.
D) that the APC has decreased and the APS has increased at each GDP level.

Question

Quizplus · Accepted Answer

An upward shift in the saving schedule indicates that people are saving more at each level of GDP, which means the Average Propensity to Save (APS) has increased, while the Average Propensity to Consume (APC) has decreased.

An Upward Shift of the Saving Schedule Suggests