CUET Economics - Value of MPS (Marginal Propensity to Save) is increased from 0.4 to 0.5. What would be the impact on Multiplier? | PYQs + Solutions

CUET Economics

Macro

Easy

The size of the multiplier would be increased.

The size of the multiplier would remain same.

Value of multiplier is undetermined with the given information.

The size of the multiplier would be decreased.

✅ Correct Option: 4

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Arrange the following statement in the context of the effect of an autonomous change in aggregate demand on income and output.

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Choose the correct answer from the options given below:

CUET Economics PYQs