MPC + MPS equals

Q: MPC + MPS equals

MPC + MPS equals APS Multiplier One ✓ Zero Explanation MPC is the portion of extra income spent. MPS is the portion of extra income saved. Together they account for all income. If you earn an extra ₦100, you either spend it or save it. Nothing else can happen to that money. MPC + MPS = 1 because consumption and saving together equal 100% of additional income.

JAMB Economics 2024 132 views

Source: JAMB · 2024

MPC + MPS equals

APS
Multiplier
One ✓
Zero

Explanation

MPC is the portion of extra income spent. MPS is the portion of extra income saved. Together they account for all income.

If you earn an extra ₦100, you either spend it or save it. Nothing else can happen to that money.

MPC + MPS = 1 because consumption and saving together equal 100% of additional income.

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