According to the simple Keynesian model, which of the following statements is NOT correct?
A) MPC + MPS = 1
B) APC + MPS = 1
C) APC + APS = 1
D) Y = C + S

Name: According to the simple Keynesian model, which of the following statements is NOT correct? A) MPC + MPS = 1 B) APC + MPS = 1 C) APC + APS = 1 D) Y = C + S
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Quizplus · Accepted Answer

In the simple Keynesian model, the sum of the average propensity to consume (APC) and the average propensity to save (APS) equals 1, not APC and MPS.

According to the Simple Keynesian Model, Which of the Following