Question

In an economy 75 percent of the increase in income is spent on consumption. Investment is increased by

` 1,000 crore. Calculate:

(a) Total increase in income.

(b) Total increase in consumption expenditure.
​

Answer 1

Explanation:

1. Drought can also affect people's health and safety. Examples of drought impacts on society include anxiety or depression about economic losses, conflicts when there is not enough water, reduced incomes, fewer recreational activities, higher incidents of heat stroke, and even loss of human life.

Answer 2

Answer:

MPS=0.75

then. MPC=0.25

Explanation:

A) 4,000cr.

B) 3,000cr.

I hope this is true.....