Problem
Assume that the apc is 0.9 and the mix is 0.8. The current level of a consumer's dis-posable income is $20,000, having risen from $19,000 in the past year due to lower government taxes. Calculate: (a) the total level of savings from the new level of income (b) the change in consumption that will result from the higher income now received.
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.