Question: I dont know how to answer the questions QUESTION 2 Given the diagram below for a two sector economy. Injections/leakages S 100 500 1,000 National

I dont know how to answer the questions

I dont know how to answer the questions QUESTION 2 Given the

QUESTION 2 Given the diagram below for a two sector economy. Injections/leakages S 100 500 1,000 National Income -100 a) Calculate the value of marginal propensity to consume (MPC) and marginal propensity to save (MPS). (2 marks) b) State the consumption and savings function. (2 marks) C) Calculate the value of average propensity to consume (APC) and average propensity to save (APS) at an income of RM500. (2 marks) d) Calculate the value of consumption and savings at income of RM1,000. (2 marks) e) Calculate investment multiplier for the above economy. (2 marks)

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!