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Calculating Marginal Propensity to Consume

A worker regularly earns $1,000 a month. At the end of the year, the worker receives $1,400. This includes his monthly salary and his year end bonus. If he decides to save the $400 bonus, what is his marginal propensity to consume?

A

0

B

1000

C

400

D

1400

E

500

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