Question:
Consider a two-sector model :
Smaller the marginal propensity to save (MPS),
A. Steeper saving function
B. Smaller value of the multiplier
C. Consumption function has flat slope
D. Larger value of the multiplier
E. Flatter saving function
Choose the most appropriate answer from the options given below:
Consider a two-sector model :
Smaller the marginal propensity to save (MPS),
A. Steeper saving function
B. Smaller value of the multiplier
C. Consumption function has flat slope
D. Larger value of the multiplier
E. Flatter saving function
Choose the most appropriate answer from the options given below:
Smaller the marginal propensity to save (MPS),
A. Steeper saving function
B. Smaller value of the multiplier
C. Consumption function has flat slope
D. Larger value of the multiplier
E. Flatter saving function
Choose the most appropriate answer from the options given below:
Updated On: Mar 12, 2024
- A and B only
- C and E only
- D and E only
- B and D only
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The Correct Option is C
Solution and Explanation
The correct answer is (C) : D and E only
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