Asked by Clara McNulty on Jul 18, 2024

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Calculate the MPS.

Disposable Income

Money that becomes available for household savings and expenditures after income taxes are subtracted.

MPS

Marginal Propensity to Save, which is the proportion of an increase in income that is saved rather than spent on consumption.

Saving

The process of setting aside a portion of current income for future use, typically in the form of investments or deposit accounts.

  • Find the Marginal Propensity to Consume (MPC) and Marginal Propensity to Save (MPS) values.
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JS
Jasmine SantanaJul 21, 2024
Final Answer :
MPS = $12,000/$50,000 = 12/50 = .24