The MPS is
A) the change in saving divided by the change in income.
B) 1 + MPC.
C) income divided by saving.
D) total saving divided by total income.

Name: The MPS is A) the change in saving divided by the change in income. B) 1 + MPC. C) income divided by saving. D) total saving divided by total income.
Brand: Quizplus
Rating: 4.9 (37 reviews)

Question

Quizplus · Accepted Answer

The Marginal Propensity to Save (MPS) is defined as the change in saving divided by the change in income. This measures the proportion of an additional unit of income that is saved rather than spent.

The MPS Is