Answer:
Given: National Income, Y = 90 Consumption Expenditure, C = 81 We know, \[APS=\frac{S}{Y}=\frac{Y-C}{Y}\] Substituting the values, \[APS=\frac{90-81}{90}=0.1\] Now given, Y = 100 C = 88 We know, \[MPC=\frac{\Delta C}{\Delta Y}\] Or, \[MPC=\frac{88-81}{100-90}=\frac{7}{10}=0.7\] Now, MPS = 1 - MPC or, MRS \[=1-0.7\] or, MPS = 0.3
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