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2.4.4 The multiplier

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Question 20

In an economy, out of every additional £1 of national income, 10p is saved, 20p is paid in taxation, and 10p is spent on imports from abroad.

Which one of the following is the correct size of the national income multiplier?

A

0.400.400.40

B

1.671.671.67

C

2.502.502.50

D

5.005.005.00

Markscheme

2.4.4 The multiplier Questions

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

43 exam-style questions on Edexcel A A Level Economics 2.4.4 The multiplier. Each one has a worked solution and a mark scheme showing where the marks go.

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