Economics > introductory-macroeconomics > Determination Of Income Employment

Read the following statements carefully: Statement 1: If in an economy the level of income increases ($\Delta Y$), it will always proportionately increase the level of consumption ($\Delta C$). Statement 2: Marginal Propensity to Consume (MPC) and Marginal Propensity to Save (MPS) are always equal to each other.

In the light of the given statements, choose the correct alternative from the following: