Copy_of_3.04 - Once you have finished practicing...

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Once you have finished practicing calculating MPC, MPS, and the multipliers, complete theproblems below. Submit your answers in the student comments area of assignment 3.04 or attachthem as a file.1.Assume that Carl and Wanda each make $40,000. Each was given a raise of $4,000. Carl'sspending increased from $40,000 to $43,000. Wanda's savings increased from $1,000 to$2,000.I.Carl lives in the Macro Islands.What is Carl’s MPC?
II.Wanda lives in the Micro Islands.What is Wanda’s MPS?
2.When businesses in the Macro Islands increased investment by $30 million to attracttourists, GDP increased by $300 million. Calculate the MPC in the Macro Islands?

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Term
Spring
Professor
DanielS.Kuo

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