Topics
Marginal Propensity to Save
The marginal propensity to save (MPS) is the change in household saving resulting from a change in household disposable income. For example, if disposable income increases by £2,000 and saving rises by £500, then the MPS = £500/£2,000 = 0.25.
The marginal propensity to save + the marginal propensity to consume out of disposable income (Yd) always equals 1.
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4.2.2.4 The Multiplier Process (AQA A Level Economics Teaching Powerpoint)
Teaching PowerPoints
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4.2.2.3 Consumer Spending and Saving (AQA A Level Economics Teaching Powerpoint)
Teaching PowerPoints
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Aggregate Demand - Revision Playlist
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Household Saving
Study Notes
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Propensity to Consume and Save
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Marginal decisions in economics
Study Notes
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Saving and the Multiplier (MCQ Revision Question)
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Simple Multiplier - MCQ Revision Question
Practice Exam Questions