Skip to content
MathsGenie logo
Open app

Course home

  1. A Level
  2. Economics Edexcel A
  3. Question bank

2.4.4 The multiplier

EasyMedium
123456789101112131415161718
Question 9

During a financial review of the island economy of Elysia, economists determined that for every additional unit of national income generated, 8% is saved, 15% is collected in taxes, and 17% is spent on imports from abroad.

Calculate the value of the national income multiplier for Elysia, showing your working.

[2]

2.4.4 The multiplier Questions

  1. A Level
  2. /Economics
  3. /2.4.4 The multiplier