$$\begin{array} { | c | c | }
\hline \text { Disposable Income } & \text { Saving } \
\hline \$ 0 & - \$ 10 \
\hline 50 & 0 \
\hline 100 & 10 \
\hline 150 & 20 \
\hline 200 & 30 \
\hline
\end{array}$$ Refer to the given data for a hypothetical economy. If plotted on a graph, the slope of the saving schedule would be
A) 0.80.
B) 0.10.
C) 0.20.
D) 0.15.

Question

$$\begin{array} { | c | c | } 
\hline \text { Disposable Income } & \text { Saving } \
\hline \$ 0 & - \$ 10 \
\hline 50 & 0 \
\hline 100 & 10 \
\hline 150 & 20 \
\hline 200 & 30 \
\hline
\end{array}$$ Refer to the given data for a hypothetical economy. If plotted on a graph, the slope of the saving schedule would be
A) 0.80.
B) 0.10.
C) 0.20.
D) 0.15.

Quizplus · Accepted Answer

The slope of the saving schedule can be calculated using the formula: change in saving / change in disposable income. From the given data, we can see that a change in disposable income of $50 results in a change in saving of $10. Therefore, the slope of the saving schedule is 10/50 = 0.20. Thus, the correct choice is (C).

Refer to the Given Data for a Hypothetical Economy