But u need to know which value is which for MPC. I assumed Investment was consumption to get 0.4 but answer is 0.6 therefore that means that I must have calculated MPS.
Just another Q, http://www4.boardofstudies.nsw.edu.au/testResults.cfm?testID=14905315&testUUID=3A8FCED9-9D10-9818-35436181D1B757B8&question_id=3202&question_num=1&correctAnswer=B&user_answer=A&courseID=15110&testQuestionID=297731542
Does investment expenditure count as funds consumed or saved...
What about decreased demand for Australian assets by foreigners > foreigners dont want australian assets > they sell their australian dollar back to their foreign currency?
Is there a flaw in my logic?