If the marginal propensity to consume in your classmate's nation is 3/5 and the marginal propensity to save in your country is 1/10,which of the following must be true?
A)The spending multiplier is larger in your classmate's nation than in your country.
B)The spending multiplier is smaller in your classmate's nation than in your country.
C)Autonomous consumption is higher in your classmate's nation than in your country.
D)Autonomous consumption is lower in your classmate's nation than in your country.
E)Total consumption is lower in your classmate's nation than in your country.

Question

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The Answer of If the marginal propensity to consume in your classmate's nation is 3/5 and the marginal propensity to save in your country is 1/10,which of the following must be true?
A)The spending multiplier is larger in your classmate's nation than in your country.
B)The spending multiplier is smaller in your classmate's nation than in your country.
C)Autonomous consumption is higher in your classmate's nation than in your country.
D)Autonomous consumption is lower in your classmate's nation than in your country.
E)Total consumption is lower in your classmate's nation than in your country.

If the Marginal Propensity to Consume in Your Classmate's Nation