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(Advanced Analysis) Linear equations for the consumption and saving schedules take the general form C: a + bYand savings 5: a + (1 - b)Y,
(Advanced Analysis) Linear equations for the consumption and saving schedules take the general form C: a + bYand savings 5: a + (1 - b)Y, where C, S, and Yare consumption, saving, and national income, respectively. The constant a represents the vertical intercept, and b is the slope of the consumption schedule. a. Use the following data to determine numerical values for a and b in the consumption and saving equations: National Instructions: If you are entering any negative numbers, be sure to include a negative sign H in front of those numbers. C = 3; (Click to select; v Y S: $ (Click to select: v Y b. What is the economic meaning of b? (Click to select: v What is the economic meaning of (1-b)? (Click to select: v c. Suppose that the amount of saving that occurs at each level of national income falls by $20 but that the values of b and (1 b) remain unchanged. Restate the saving and consumption equations for the new numerical values, and cite a factor that might have caused the change. Instructions: If you are entering any negative numbers, be sure to include a negative sign (-) in front of those numbers. C= $ (Click to select: v Y 5: $ (Click to select: v Y Which of these factors might have caused this change? (Click to select: v
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