If a product which costs $8 is sold at $10, the profit margin is

Let C = 80 + 0.6y and I = 40. The value of the MPS is

A) 0.24. B) 0.4. C) 0.48. D) 0.6.

Suppose the overall MPC is 0.75 and the marginal propensity to import is 0.25. A $4 billion increase in U.S. exports will lead to a ________ increase in GDP

A) $6 billion B) $8 billion C) $12 billion D) $16 billion