Assuming there is no government or foreign sector, if the MPC is 0.8, the multiplier is–

  1. 0.2
  2. 0.8
  3. 1.25
  4. 5
Anurag Mishra Professor Asked on 6th July 2016 in Commerce.
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Answer: (4) 5 

Anurag Mishra Professor Answered on 9th July 2016.
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