15 Suppose you have the following information about a fictitious economy. Assume there are no taxes in this economy. Disposable Income and Consumption Disposable Income (dollars) $0 8,000 16,000 24,000 32,000 Consumption (dollars) $4,000 11,000 18,000 25,000 32,000 40,000 39,000 Instructions: In parts a and c, enter your answers as a whole number. In part b, round your answers to two decimal places. a. What is the equilibrium level of consumption? $ b. What is the MPC and MPS for this economy? MPC: MPS: c. What is the value of autonomous consumption for this economy? EA
15 Suppose you have the following information about a fictitious economy. Assume there are no taxes in this economy. Disposable Income and Consumption Disposable Income (dollars) $0 8,000 16,000 24,000 32,000 Consumption (dollars) $4,000 11,000 18,000 25,000 32,000 40,000 39,000 Instructions: In parts a and c, enter your answers as a whole number. In part b, round your answers to two decimal places. a. What is the equilibrium level of consumption? $ b. What is the MPC and MPS for this economy? MPC: MPS: c. What is the value of autonomous consumption for this economy? EA
Question
Transcribed Image Text:15
Suppose you have the following information about a fictitious economy. Assume there are no taxes in this economy.
Disposable Income and Consumption
Disposable Income
(dollars)
$0
8,000
16,000
24,000
32,000
Consumption
(dollars)
$4,000
11,000
18,000
25,000
32,000
40,000
39,000
Instructions: In parts a and c, enter your answers as a whole number. In part b, round your answers to two decimal places.
a. What is the equilibrium level of consumption?
$
b. What is the MPC and MPS for this economy?
MPC:
MPS:
c. What is the value of autonomous consumption for this economy?
EA
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