Multiplier is __________ related to MPC.

directly

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not

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indirectly

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rarely

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Solution

The correct option is A directly
The value of the multiplier and MPC are directly related as the change in consumption with respect to a given change in income becomes the change in investment which keeps on changing unless the income becomes zero.

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Similar questions

Draw a diagram of a lever which is always used as a force multiplier. How is the effort arm related to the load arm in such a lever ?

Consider a lever which is always used as a force multiplier. How is the effort arm related to the load arm in such a lever ?

A movable pulley is used as :

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When does a machine act as (a) a force multiplier, (b) a speed multiplier? Can a machine act as a force multiplier and a speed multiplier simultaneously?

A machine acts as a force multiplier and a speed multiplier simultaneously.

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Multiplier is __________ related to MPC.

The correct option is A directlyThe value of the multiplier and MPC are directly related as the change in consumption with respect to a given change in income becomes the change in investment which keeps on changing unless the income becomes zero.

The correct option is A directly
The value of the multiplier and MPC are directly related as the change in consumption with respect to a given change in income becomes the change in investment which keeps on changing unless the income becomes zero.