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Question
Complete the following table:
| INCOME (Y) |
SAVING (S) |
APC |
| 0 | (-) 12 | |
| 20 | 6 |
Solution
| INCOME (Y) |
SAVING (S) |
Consumption C = Y - S |
APC = `bb("C"/"Y")` |
| 0 | (-) 12 | (0 - (-12)) = 12 | `12/0` = ∞ |
| 20 | 6 | (20 - 6) = 14 | `14/20` = 0.7 |
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