Real Disposable IncomeConsumptionSavingMPCMPS

$100$150

$200$200

$300$250

$400$300

$500$350

A.What is Saving if Real Disposable Income = $400.What is Saving if Yd = 500?

B.What is the marginal propensity to consume (MPC)?

C.What is the marginal propensity to save(MPS)?

D.What is the break-even income (level of income at which Saving = 0)?

E.What is the mathematical relation between the MPC and the MPS?

3.Suppose most business executives expect a slowdown in the economy (slower sales growth for their firm).How might that affect the economy