How do i do this eco question? (1 Viewer)

[xa]

How do i solve this? thank you

 

[AnimeX]

So find mpc first, it is 0.5.

So because consumption increases by 100 income would've went up by 200.thus it's (d) 800

Is that the answer?

 

[xa]

So find mpc first, it is 0.5.

So because consumption increases by 100 income would've went up by 200.thus it's (d) 800

Is that the answer?

yea it is. could you explain

"So because consumption increases by 100 income would've went up by 200"

a bit more clearly

 

[HeroicPandas]

For u to understand the working out of 'AnimeX', u need to notice this:



Look at the change in consumption and income EACH YEAR

 

[AnimeX]

For u to understand the working out of 'AnimeX', u need to notice this:



Look at the change in consumption and income EACH YEAR

Yep, this.

If you still don't understand just tell me.

 

[Streetboy]

Yep, this.

If you still don't understand just tell me.

hey, "AnimeX" is right! , basically these questions are not that hard, just make sure you understand the formula, just put the information in the formula. Bang your will get the answer.

For these type of questions, if you do enough problems you will see what is going on! Just pay close attention too what the quetsion says and work out what is going on! Then go from there on!