Economy, asked by ashughutke0602p8qdqi, 6 months ago

In a an economy the equilibrium level of income is 12000 crore the ratio of marginal propensity to save is 3:1 calculate the additional investment needed to reach a new equilibrium level of income 20000 crore

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Answered by ashok052020

Answer:

20,000 crore. Solution : Ratio of 3:1 between marginal propensity to consume (MPC) and marginal propensity to save (MPS) signifies : MPC =34 or 0.75 and MPS =14 or0.25.

Explanation:

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In a an economy the equilibrium level of income is 12000 crore the ratio of marginal propensity to save is 3:1 calculate the additional investment needed to reach a new equilibrium level of income 20000 crore​

Answers

In a an economy the equilibrium level of income is 12000 crore the ratio of marginal propensity to save is 3:1 calculate the additional investment needed to reach a new equilibrium level of income 20000 crore