मराठी

If an economy plans to increase its income by ₹ 2,000 crore and the Marginal Propensity to Consume is 75%. Estimate the increase in investment required to achieve the targeted increase in income. - Economics

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प्रश्न

If an economy plans to increase its income by ₹ 2,000 crore and the Marginal Propensity to Consume is 75%. Estimate the increase in investment required to achieve the targeted increase in income.

थोडक्यात उत्तर

उत्तर

Given, MPC = 0.75, ΔY = ₹ 2,000 Crore

K = `1/(1 - "MPC")`

= `1/(1 - 0.75)`

= `1/(1 - 0.25)`

= 4

According to the question:

K = `(Δ"Y")/(Δ"I")`

4 = `2000/(Δ"I")`

ΔI = `2000/4`

= ₹ 500 Crore

Therefore, increase in investment (ΔI) required = ₹ 500 Crore.

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Aggregate Demand and Its Components - Investment
  या प्रश्नात किंवा उत्तरात काही त्रुटी आहे का?
2022-2023 (March) Sample

संबंधित प्रश्‍न

Given the following data, find the missing values of 'Private Final Consumption Expenditure' and 'Operating Surplus'.

S.No. Particulars Amount
(In ₹ crores)
(i) National Income 50,000
(ii) Net Indirect Taxes 1,000
(iii) Private Final Consumption Expenditure ?
(iv) Gross Domestic Capital Formation 17,000
(v) Profits 1,000
(vi) Government Final Consumption Expenditure 12,500
(vii) Wages & Salaries 20,000
(viii) Consumption of Fixed Capital 700
(ix) Mixed Income of Self Employed 13,000
(x) Operating Surplus ?
(xi) Net Factor Income from Abroad 500
(xii) Net Exports 2,000

State the meaning of the following:
Ex-Ante Savings


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With the increase in investment, MEC ______ 


Keynesian economics came to be widely accepted because it finds solution to ______.


In the Keynesian model of income determination, consumer expenditure includes spending by ______.


According to the saving-investment viewpoint, income employment equilibrium will be determined at a point where ______ 


When an economy they’re to save all its extra income then investment calculation will be ______ 


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______ refers to the planned or intended investment during a particular period of time.


______ refers to the actual level of investment during a particular period of time.


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Investment Multiplier is the ratio of change in ______ and ______


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