Based on the marginal propensity to save, MPS , the national income will increase by a maximum of $20 billion.
<h3>What is marginal propensity to save?</h3>
Marginal propensity to save (MPS) is a measure of how savings will change, given a change in income.
Marginal propensity to save is related to marginal propensity to consume, MPC by the formula:
Grom the given value of MPS,
MPC = 1 - 0.25
Therefore, MPC = 0.75
Also, the formula for calculating marginal propensity to consume is given as:
- Marginal propensity, MPC = ΔC/ΔY
Where:
- ΔC is a change in consumption
- ΔY is a change in income
ΔY = ΔC/MPC
ΔY = $15 billion/0.75
ΔY = $20 billion
Therefore, the national income will increase by a maximum of $20 billion.
Learn more about marginal propensity to save at: brainly.com/question/18521055
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I think it is the following;
Reproduction
Multicellular or Unicellular
Autotroph or Heterotroph
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I am so sorry if this is not correct.
This is cyclic change because the population is consistently going up and back down.
Answer:
staw or straw? But, never the less, normal insulation hurts the environment. while being manufactured, the factory's blow smoke. while straw/staw do not have to be built, so there for wont hurt the environment.
Explanation:
