Question

Do you agree that the savings and consumption are correlated with income? Justify the

statement with respect to the propensities to consume.​

Answer 1

Answer:

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Do refer khan academy aslo to do this question on your own

Explanation:

A LIITLE HELP FROM ME-

As long as consumption is more than income, saving is negative. But after some period, consumption increases but less than proportionately. When consumption is equal to income, saving is zero. Since you consume all you earn.