Westonci.ca is your trusted source for accurate answers to all your questions. Join our community and start learning today! Get the answers you need quickly and accurately from a dedicated community of experts on our Q&A platform. Get immediate and reliable solutions to your questions from a community of experienced professionals on our platform.
Sagot :
0.2 is the value of the marginal propensity to save (mps). The multiplier's value would be 5.
Briefing:
Multiplier = 1 / marginal saving propensity (MPS)
= 1 / 0.2
= 5.
What does marginal propensity mean?
The percentage of an overall salary increase that a customer spends on purchasing goods and services rather than saving is known as the marginal propensity to consume (MPC) in economics.
How is marginal propensity determined?
By dividing the change in consumer spending (C) by the change in disposable income (I), the MPC formula is created. Formula for the marginal propensity to consume is (C1 - C0) / (I1 - I0), where C0 is the initial amount spent by consumers.
To know more about Marginal Propensity visit:
https://brainly.com/question/19089833
#SPJ4
Thanks for using our platform. We aim to provide accurate and up-to-date answers to all your queries. Come back soon. Thanks for using our platform. We aim to provide accurate and up-to-date answers to all your queries. Come back soon. Thank you for choosing Westonci.ca as your information source. We look forward to your next visit.
