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If a consumption function of a hypotheti...

If a consumption function of a hypothetical economy is given as:
C = 100 + 0.6 Y, then
(i) What will be the values of marginal propensity to consume and marginal propensity to save for the economy ?
(ii) Write the corresponding saving function.

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(i) C = 100 + 0.6 Y (given)
So, MPC = 0.6
MPS = 1 - MPC = 1-0.6= 0.4
(ii) S = -C+(1-b)Y
S = -100+0.4Y
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