In an economy the autonomous investment ...

In an economy the autonomous investment is 60 and the marginal propensity to consume If the equilibrium level of income is 400? Then the autosomes consumption is 30. True and False? Justify your answer.

Text Solution

Verified by Experts

The given value of autonomous consumption incorrect. The correct value is 20

Topper's Solved these Questions

INCOME DETERMINATION AND MULTIPLIER
SANDEEP GARG|Exercise NCERT QUEST.|1 Videos
INCOME DETERMINATION AND MULTIPLIER
SANDEEP GARG|Exercise MCQ|20 Videos
INCOME DETERMINATION AND MULTIPLIER
SANDEEP GARG|Exercise LONG|12 Videos
GOVERNMENT BUDGET AND THE ECONOMY
SANDEEP GARG|Exercise Unsolved Practicals|8 Videos
MEASUREMENT OF NATIONAL INCOME
SANDEEP GARG|Exercise Miscellaneous Practicals|16 Videos

Similar Questions

Explore conceptually related problems

In an economy the autonomous investment is 100 and the consumption is C=80+0.4Y. Is the economy in equilibrium at an income level 400? Justify your answer.

Calculate consumption expenditure in the economy whose equilibrium level of income is 20000 autosomous consumption is 500 and marginal propensity to save is 0.5

If an economy , Saving Function is given by S =(-)50+0.2Y and Y = Rs. 2,000 crores, consumption expenditure for the economy would be Rs. 1,650 crores and the autonomous investment is Rs. 50 crores and the marginal propensity to consume is 0.8 True or False ? Justify your answer with proper calculattions.

In an economy investment increases from 300 to 500. As a result of this, equilibrium level of income increses by 2,000. Calculate the marginal propensity to consume

From the data given below about an economy, calculate (a) investment expenditure, and (b) Consumtion expenditure (i) Equilibrium level to income -5000 (ii) Autonomous consumption -500 Marginal propensity to consume-0.4

SANDEEP GARG-INCOME DETERMINATION AND MULTIPLIER-Practicals

From the following data about an economy, calculate the equilbrium lev...
Text Solution
|
In an economy the autonomous investment is 100 and the consumption is ...
Text Solution
|
In an economy the autonomous investment is 60 and the marginal propens...
Text Solution
|
An economy is in equilibrium. Calculate national income fromt the foll...
Text Solution
|
An economy is in equilibrium. Find Marginal propensity to consume from...
Text Solution
|
An economy is in equilibrium. Calculate the investement Expenditure fr...
Text Solution
|
An economy is in equilibrium. Calculate the Marginal Propensity to Sav...
Text Solution
|
An economy is in equilibrium. Calculate Autonomous Consumption from th...
Text Solution
|
S=-100+0.2Y is the saving funtioon in an economy. Investment expenditu...
Text Solution
|
Calculate the equilirbium level of income in the economy if C=500+(0.9...
Text Solution
|
In an economy investment increases from 300 to 500. As a result of thi...
Text Solution
|
In an economy 20 percent of incresed incomeis saved. How much will be ...
Text Solution
|
Suppose marginal propensity to consume is 0.8. How much increase in in...
Text Solution
|
An economy is in equilibrium. Calculate Marginal Propensity to Consume...
Text Solution
|
An economy is in equilibrium. Find autosomes comsumption expenditure ...
Text Solution
|
From the following data calculate the equilibrium level of national in...
Text Solution
|
Calculate consumption expenditure in the economy whose equilibrium lev...
Text Solution
|
An economy is in equilibrium. From the following data about an economy...
Text Solution
|
An economy is is equilibrium. From the following data, calculate the m...
Text Solution
|
An economy is in equilibrium. From the following data, calculate inves...
Text Solution
|