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Propensity To Consume...

Propensity To Consume

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If the marginal propensity of consume is greater than marginal propensity to save, the value of the multiplier will be (choose the correct alternative).

In an economy the investment expenditure is increased by 20000 crores. Calculate the total increase in income and consumption expenditure if ratio of marginal propensity to consume and marginal propensity to save 4:1

If a consumption function of a hypothetical economy is given as: C = 100 + 0.6 Y, then (i) What will be the values of marginal propensity to consume and marginal propensity to save for the economy ? (ii) Write the corresponding saving function.