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Questions tagged [multiplier]

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Econs help regarding National Income Determination Fundamentals

it isn't always a breeze trying to post something questions as my formatting is all in a mess, lmao. I need some help in the basics of NID and hope some econs experts can provide some help in ...
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The case where the entire amount of investment goods are supplied by the imports

A positive investment multiplier does not exist in an open economy simple Keynesian model when the entire amount of investment goods is supplied from import. Examine the validity of this statement. My ...
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What would be the impact of Direct Taxes on the National Income of a country?

Consider a simple closed economic system (Y = C + I + G) such that C = c (Y-DT); I = i(r). Now consider that Total Taxes (TT) is given as TT = DT + IDT, where, DT = direct tax and IDT is Indirect ...
Ritish Pandit's user avatar
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In describing the multiplier process, is it right to

explain in terms of increase in national income --> increase in consumption and increase in savings? If I assume mpc is 0.90 and initial govt injection is $1: Injection of \$1 increases national ...
user1311104's user avatar