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प्रश्न
From the following data, calculate investment multiplier and equilibrium level income in the economy.
- Change in initial investment (ΔI) = ₹ 1,000 crore
- Marginal Propensity to Save (MPS) = 0.5
- Autonomous consumption (`barc`) = ₹ 50 crore
- Planned investment = ₹ 100 crore
संख्यात्मक
उत्तर
MPC = 1 − MPS = 1 − 0.5 = 0.5
Y = C + I
Y = (50 + 0.5Y) + 100
Y − 0.5 Y = 150
Y = `150/0.5`
= ₹ 300 crores
Investment multiplier = `1/(MPS)`
= `1/0.5`
= 2
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