HW #13, PART 1 A. Using the consumption function C = 60 + (9/10) Ya, complete the following table. All figures are in billions of dollars. Note that the MPC and MPS are printed between the different levels of disposable income shown. Yd C S APC = CN d MPC = AC/AYd APS = S/Yd MPS = AS/AYd 0 60 - 60 90/100 = .9 10/100 = .1 100 150 - 50 150/100 = 1.500 - 50/100 = -.500 10/100 = .1 200 240 - 40 240/200 = 1.200 - 40/200 = -.200 180/200 = .9 20/200 = .1 400 420 - 20 420/400 = 1.050 - 20/400 = -.050 180/200 = .9 20/200 = .1 600 600/600 = 0/600 = 0 180/200 = .9 20/200 = 1 800 780 + 20 1800 = .975 20/ = .025 1000 960 + 40 960/ = .960 /1000 = 180/200 = .9 20/200 = .1 1200 1140 + 60 1140/1200 = .950 60/1200 = .050