Marginal utility can be measured by the change in:

In an economy with lump-sum taxes and no international trade, if the marginal propensity to consume is 0.8, which of the following is true?

a) when consumption increases by $5, investment increases by a maximum of $1 b) when consumption increases by $5, savings increase by a maximum of $1 c) when investment increases by $1, income increases by a maximum of $5 d) when investment increases by $1, consumption increases by a maximum of $5 e )when income increases by $1, investment increases by a maximum of $5

Parties who have sold a futures contract and thereby agreed to ________ (deliver) the bonds are said to have taken a ________ position

A) sell; short B) buy; short C) sell; long D) buy; long