Question

    Which of the following formula is used for simple

    investment multiplier?
    A 1/MPC Correct Answer Incorrect Answer
    B 1/(1+MPC) Correct Answer Incorrect Answer
    C 1/(1-MPC) Correct Answer Incorrect Answer
    D 1-MPC Correct Answer Incorrect Answer
    E 1+MPC Correct Answer Incorrect Answer

    Solution

    Investment Multiplier (K) = 1/ (1-MPC)

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