In an economy the marginal propensity …
CBSE, JEE, NEET, CUET
Question Bank, Mock Tests, Exam Papers
NCERT Solutions, Sample Papers, Notes, Videos
Test
Related Questions
Posted by Nandita Sharma 1 year, 5 months ago
- 1 answers
Posted by Naman Jain 1 year, 4 months ago
- 1 answers
Posted by Shruti Singh 1 year, 5 months ago
- 0 answers
Posted by Mehar Ansari 1 year, 4 months ago
- 0 answers
Posted by Niyati Garg 1 year, 3 months ago
- 0 answers
Posted by Rijum Karlo 1 year, 4 months ago
- 0 answers
Posted by Dipika Sharma 1 year, 4 months ago
- 0 answers
myCBSEguide
Trusted by 1 Crore+ Students
Test Generator
Create papers online. It's FREE.
CUET Mock Tests
75,000+ questions to practice only on myCBSEguide app
Preeti Dabral 4 years, 4 months ago
If the MPS= 0.25 and investment is increased by Rs. 200 crores.
Multiplier(k) => Change in Income / 200 = 1/ MPS
=> Change in Income / 200 = 1/0.25
=> Change in Income / 200 = 4
=>Change in Income = 4*200 = 800 crores
Consumption at equilibrium level of income,
Income= Consumption+ Investment
=> Y= C+I
=> C= Y-I
=> C = 800-200
= 600 crores
0Thank You