Consumption and Savings Functions

FILL IN THE BLANK Please add the appropriate word or words to complete the sentences. :P'PJPH 10. Marginal propensity to consume is the change id: ]divided by the change in disposable income. Marginal propensity td: :Iis the change in saving divided by the change in disposable income. Consumption and saving are]: Jrelated in disposable income so, the lower the mpc th{ ]the mps. All multipliers perform basically the same function; they increase somd: ]act by a certain number of times. The expenditure multiplier is the proportion between the secondary change ir[ ]and the initial change in aggregate demand. The expenditure multiplier has a[ n1: ]relationship with mpc. This means the expenditure multipli- er increases as the savings of individuals[ 1 The part of total consumption expenditure that iii: ]of disposable income is known as autonomous consumption. The consumption function is an equation that shows the relationship between real consumption expenditures and: ]income. The planned expenditure schedule is a graphic illustration of the level of planned: ]that correspond with a particular level of domestic income. The components of the planned expenditure schedule are consumption[ 1 government purchases, and: ]exports. These are the same components of aggregatd: ]