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    C Autonomous Consumption +by 385+0.75 (2000) 1885 Y-C S 2000-1885 S S 115

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    Shahzad Hassan
    This document contains an economics assignment asking the student to complete a table with GDP, consumption, savings, and other economic data and metrics. It then asks the student to use the consumption function C= autonomous consumption + MPC(Y) to calculate consumption and savings given income of Rs 2000.

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    C Autonomous Consumption +by 385+0.75 (2000) 1885 Y-C S 2000-1885 S S 115

    Uploaded by

    Shahzad Hassan
    14 views2 pages
    This document contains an economics assignment asking the student to complete a table with GDP, consumption, savings, and other economic data and metrics. It then asks the student to use the consumption function C= autonomous consumption + MPC(Y) to calculate consumption and savings given income of Rs 2000.

    Original Title

    Ali AdnanECOMMICS

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    This document contains an economics assignment asking the student to complete a table with GDP, consumption, savings, and other economic data and metrics. It then asks the student to use the consumption function C= autonomous consumption + MPC(Y) to calculate consumption and savings given income of Rs 2000.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    14 views2 pages

    C Autonomous Consumption +by 385+0.75 (2000) 1885 Y-C S 2000-1885 S S 115

    Uploaded by

    Shahzad Hassan
    This document contains an economics assignment asking the student to complete a table with GDP, consumption, savings, and other economic data and metrics. It then asks the student to use the consumption function C= autonomous consumption + MPC(Y) to calculate consumption and savings given income of Rs 2000.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    Assignment #2

    Ali Adnan

    FA19-BBA-048

    Question: Total Marks = (2.5+2.5+1=5)

    Complete the following table and calculate the desired values.

    GDP=DI consumption Savings APC APS MPC MPS


    Rs $380 385 $-5 1.01 -0.013
    390 390 0 1 0 0.75 0.25
    410 405 5 0.98 0.012 0.75 0.25
    430 420 10 0.97 0.023 0.75 0.25
    450 435 15 0.96 0.033 0.75 0.25
    470 450 20 0.95 0.042 0.75 0.25
    490 465 25 0.94 0.051 0.75 0.25
    510 480 30 0.941 0.058 0.75 0.25
    530 495 35 0.93 0.066 0.75 0.25
    550 510 40 0.92 0.072 0.75 0.25

    Suppose Income( Y) is 2000

    (A) Solve the following consumption equation

    C= autonomous consumption +by


    =385+0.75(2000)
    =1885
    Y-C=S
    2000-1885=S
    S=115

    (b) Find out Savings=Y-C

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