Marginal Propensity To Save
Which of the following statements regarding the marginal propensity to save is NOT true?
A
It is generally less than the marginal propensity to consume.
B
It is equal to the change in savings divided by the change in disposable personal income.
C
It predicts the amount businesses will spend over the next year.
D
It can be calculated by subtracting the marginal propensity to consume from 1.
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