If the marginal propensity to consume (MPC) is 0.75 and there is an increase in planned investment spending of $1 trillion, then saving will
A) increase by $0.5 trillion.
B) increase by $1 trillion.
C) increase by $1.5 trillion.
D) remain unchanged.

Question

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The Answer of If the marginal propensity to consume (MPC) is 0.75 and there is an increase in planned investment spending of $1 trillion, then saving will
A) increase by $0.5 trillion.
B) increase by $1 trillion.
C) increase by $1.5 trillion.
D) remain unchanged.

If the Marginal Propensity to Consume (MPC) Is 0