simple multiplier (1 Viewer)

[know_it_all]

help! total blank

2002 HSC:
Q23.B) find the simple multiplier

year 1 - I=400 C=360 S=40 I=200
year 2 I=500 C=420 S=80 I=200
year 3 I=600 C=480 S=120 I=200

ive answered this q before, im just blanking it atm
like i no 1/mps is K
im jst lost atm

 

[sk8ie_boi]

Yeah, this question is weird.. it doesn't say which year. I remember our teached explained it us before.. but I can't remember.. umm I dunno how I got it, but on my paper.. I wrote down MPS as 0.4 .. but hmmz .. I have no idea how I got dat before..

 

[k3tan]

ok MPC is the change in consumption over the change in income, which is 60/100. So therefore, the MPS is 0.4
Now the k value is 1/MPS or 1/0.4
k = 2.5
i think.

 

[know_it_all]

thanks so much for that
i memba answering it right before but yeh...odd question
k is 2.5
thanks