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Explain with the help of a …

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Explain with the help of a example how an increase in investment in an economy affect its level of income???? Plzzz answer this.....
  • 3 answers

Yami Wadhwa 7 years, 8 months ago

Increase in investment gets multiple increase in invcome

Akshay Sankhla 7 years, 8 months ago

Increase in investment is directly related or positively related with income minor increase in investment leads to a several time increase in income this can be explained through the multiplier show in an economy when investment increase income of the consumer income of the people increases manifold as income and investments are positively related

Dhruv Khare 7 years, 8 months ago

Increase in I affects level of Y as increase In I gets multiple increase in Y.... Eg.. Increase in I is 100 MPC is 0.5 so increase in Y is 200 and K is 2...
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