___is the number by which the change in investment must be multiplied in order to determine the resulting changes in total income?
a) Multiplier
b) Unemployment
c) Marginal propensity to consume
d) Marginal propensity to save
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number by which the change in investment must be multiplied in order to determine the resulting changes in total income?
a) Multiplier
b) Unemployment
c) Marginal propensity to consume
d) Marginal propensity to save
Answered by
0
Answer:
Correct Option is A. Multiplier
Explanation:
In economics, a multiplier is a numerical coefficient that shows how a change in total national investment affects the amount of total national revenue. It's the proportion of change in total income to change in investment.
so,
Multiplier is the number by which the change in investment must be multiplied in order to determine the resulting changes in total income.
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