Relationship which MPC bear to the size of the multiplier

What relationship does the MPC bear to the size of the multiplier? 

E

Expert

Verified

The MPC is directly (positively) associated to the size of the multiplier. The MPS is inversely (negatively) associated to the size of the multiplier.

   Related Questions in Finance Basics

  • Q : Determine the new per unit cost of

    Normal 0 false false

  • Q : Fiscal policy Normal 0 false false

    Normal 0 false false

  • Q : Describe Modigliani and Miller theory

    Describe Modigliani and Miller theory of dividends? Describe. The Modigliani-Miller theory of dividends says which dividend theory is irrelevant. They claim that it is the income generated by assets that is significant, not how funds are distr

  • Q : Public finance can you do this

    can you do this homework? My state Taxes

  • Q : Healthcare Finance Issues Question 1 A.

    Question 1 A. What per visit price must be set for the service to break even? To earn an annual profit of $100,000? (10,000 * 5.00 - $500,000 - 50,000 = 0

    Q : Describe Section 1.50 Section 1.50 : It

    Section 1.50: It is a section of the Budget Act which A) Identifies a certain style and format for the codes employed in the Budget Act, B) Authorizes the Department of Finance

  • Q : What are Exempts Exempts : The state

    Exempts: The state employees exempt from civil service pursuant to the subdivision (e), (f), or (g) of Section 4 of Article VII of the California Constitution. Illustrations comprise department directors and some other gubernatorial appointees.

  • Q : Explain computing of payback period How

    How do we compute the payback period for proposed capital budgeting project? What are the basic criticisms of the payback method? We compute the payback period for proposed project through adding a project's positive cash flows, one period at t

  • Q : Domestic opportunity cost of production

    Hypothetical production possibilities tables for New Zealand and Spain are given below 639_Hypothetical production possibilities.png

    Q : Describe benefits of collecting early

    Describe benefits of "collecting early" and how do companies effort to do this? Money contains time value. The sooner cash is gathered, the better. Companies employ regional collection centres and lock boxes to facilitate this.

©TutorsGlobe All rights reserved 2022-2023.