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प्रश्न
Suppose in a hypothetical economy, the income rises from ₹ 5,000 crores to ₹ 6,000 crores. As a result, the consumption expenditure rises from ₹ 4,000 crores to ₹ 4,600 crores. Marginal propensity to consume in such a case would be __________.
पर्याय
0.8
0.4
0.2
0.6
उत्तर
Suppose in a hypothetical economy, the income rises from ₹ 5,000 crores to ₹ 6,000 crores. As a result, the consumption expenditure rises from ₹ 4,000 crores to ₹ 4,600 crores. The marginal propensity to consume in such a case would be 0.6.
Explanation:
MPC = `(Delta"C")/(Delta"Y") = 600/(1,000) = 0.6`
संबंधित प्रश्न
Define marginal propensity to save.
An economy is in equilibrium. Calculate national income from the following :
Autonomous consumption = 100
Marginal propensity to save = 0.2
Investment expenditure = 200
Complete the following table:
Consumption expenditure (Rs) |
Savings (Rs) |
Income (Rs) |
Marginal propensity to Consume |
100 |
50 |
150 |
|
175 |
75 |
……. |
…… |
250 |
100 |
……. |
…… |
325 |
125 |
……. |
…… |
Define or explain the concept Average propensity to save .
Give reason or explain the following statement
Demand for necessary goods is inelastic.
Answer the following question.
In an economy, investment increased by 1,100 and as a result of it income increased by 5,500. Had the marginal propensity to save been 25 percent, what would have been the increase in income?
If the income is ₹ 400 crores and consumption is ₹ 250 crores, what will be the APC?
The relation between APC and MPC in Keynes Psychological consumption function is ______.
The value of MPC is ______
A consumer spending on the purchase of goods regardless of the income in possession is an example of _______ consumption.
Calculate equilibrium level of income for a hypothetical economy, for which it is given that:
- Autonomous Investments = ₹ 500 crores, and
- Consumption function, C = 100 + 0.80Y
MPC = 1 − MPS. It is ______
Marginal Propensity to Save is equal to ______
The sum of MPC and MPS is always equal to _____
Which of the following points establish the relationship between MPS and MPC?
In an economy, 75 percent of the increase in income is spent on consumption. Investment is increased by Rs 1,000 crore. Calculate the Total increase in income?
What is "MPS" or the 'marginal propensity' to save?
The rate of increase in ______ due to a unit increment in income is called marginal propensity to consume.
Assertion (A): Saving curve makes a negative intercept on the vertical axis at zero level of income.
Reason (R): Saving function refers to the functional relationship between saving and income.