Consider an economy described by the following equations:
Y = C + I + G
C = 100 + 0.75 (Y - T)
I = 300
G = 125
T - 100
Where Y is GDP, C is consumption, I is investment, G is government purchases, T is taxes.
If this economy were at full employment (that is, at its natural level of output), GDP would be 2000.
What are the MPC and MPS
