-According to the above table, the value of MPS is
A) 0.9.
B) 0.2.
C) 0.1.
D) increasing as real disposable income rises.

Question

-According to the above table, the value of MPS is
A) 0.9. 
B) 0.2. 
C) 0.1. 
D) increasing as real disposable income rises.

Quizplus · Accepted Answer

MPS, or Marginal Propensity to Save, is the fraction of an increase in income that is not spent on an increase in consumption. Since there's no table provided, the correct answer cannot be directly derived from data. However, MPS is typically a constant or a fraction less than 1, making 0.1 a plausible choice without specific data.

-According to the Above Table, the Value of MPS Is