💶ap macroeconomics review

Marginal propensity to save

Written by the Fiveable Content Team • Last updated August 2025
Verified for the 2027 exam
Verified for the 2027 examWritten by the Fiveable Content Team • Last updated August 2025

Definition

The fraction of additional disposable income that households save rather than spend; equals one minus the marginal propensity to consume.

AP course connection

Topic 3.2: 3.2 Spending and Tax Multipliers

Unit 3

"Marginal propensity to save" also found in: