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disposable income) is 0.75, and imports are 25 per cent of national income, then the simple

multiplier is????

a) 1.568

b) 1.666

c) 1.951

d) 2.051…………….

Please solve this…..

Thanks

if u give me a solution then i leave the question here ok ]]>

2: The Postulates of the Classical Economics | Scandalum Magnatum

]]>multiplier is equal to 1/1-b, b refers to MPC (marginal propensity to consume) or you can say 1/mps , MPS (marginal propensity to save) by increasing our consumption we increase the level of investment which leads to further income generation that is why we also write it as m= Δy/ΔI ]]>

what is the relationship between simple multiplier and marginal propensity to consume ]]>