In an economy 20 percent of increased income is saved. How much will be the increase in income if investment increases by 10,000?

In an economy 20 percent of increased income is saved. How much will be the increase in income if investment increases by 10,000? Calculate.

Monjur Alahi

5 views

2025-01-04 04:42

1 Answers

Salim Ahmed Kawsar

MPS = 20/100

K = 1/MPS = 1/(1/5) = 5

ΔY = K.ΔI

= 5 x 10,000 = 50,000

5 views Answered 2023-02-05 15:29

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