Question

Find saving if autonomous consumption is Rs.75, MPC is 0.6 and level
of income is Ra. 1000,​

Answer 1

Answer:

c bar =. 75.

MPC=. 0.6. then MPs = 0.4

and Y = 1000. then

s = - c bar + MPs (Y)

= -75 + 0.4× 1000

== 225