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प्रश्न
What is the relation between marginal propensity to consume and multiplier?
उत्तर
MPC and the value of multiplier has direct relationship. Higher the MPC more will be the value of multiplier
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संबंधित प्रश्न
Define multiplier
Calculate the marginal propensity to consume if the value of multiplier.
The value of the multiplier is: (choose the correct alternative)
a. `1/"MPC"`
b. `1/"MPS"`
c. `1/(1-"MPS")`
d. `1/(MPC- 1)`
If MPC = 1, the value of the multiplier is ______
Calculate the marginal propensity to consume if the value of multiplier is 4.
How is investment multiplier related to marginal propensity to consume?
Explain the relationship between investment multiplier and marginal propensity to consume.
If in an economy :
Change in initial Investments (∆I) = ₹ 500 crores
Marginal Propensity to Save (MPS) = 0.2
Keynesian multiplier establishes a relationship between ______
The value of multiplier is ______
Which of the following statements is true?
For a hypothetical economy, assuming there is an increase in the marginal Propensity to Consume (MPC) from 75% to 90% and change in investment to be ₹ 1,000 crore.
Using the concept of investment multiplier, calculate the increase in income due to change in Marginal Propensity to Consume (MPC).
If a linear consumption curve takes a parallel shift downwards, the value of investment multiplier will ______.
Mention any one difference between Induced investment and Autonomous investment.
Illustrate that the investment multiplier is inversely proportional to MPS.