mic factors that could lead to an increase in the value of the national income multiplier.","markscheme":"- Identifies a first valid factor that increases the multiplier (e.g. a reduction in income tax rates, lower interest rates, or a decrease in the propensity to import). B1\n- Explains how this factor reduces one of the marginal leakages ($MPT$, $MPS$, or $MPM$), thereby increasing the marginal propensity to consume ($MPC$). M1\n- Connects this reduction in leakages directly to the multiplier formula ($k = \\frac{1}{1-MPC}$ or $k = \\frac{1}{MPW}$) to show why the overall value of the multiplier rises. A1\n- Identifies a second distinct valid factor that increases the multiplier. B1\n- Explains how this second factor reduces a leakage, increasing the proportion of additional income spent on domestic consumption. M1\n- Connects this second factor to the multiplier formula to demonstrate why the multiplier increases. A1","marks":6,"order":0,"markingRubric":null,"explanation":null,"options":[]}],"options":[],"explanation":null,"firstAttemptFullMarks":null},{"id":"1ddd9ff4-980a-4d17-918c-ce7d1823844d","revisionId":"4174f9f9-0efb-4ef2-a926-0bfb93020af4","questionNumber":null,"questionType":"LA","specification":"### Expansion of the Aero-Dome Space and Rocketry Center\n\nThe regional development agency has approved a £280 million investment to expand the Aero-Dome Space and Rocketry Center, constructing new interactive aerospace exhibition galleries and a high-speed shuttle terminal to connect the complex to the regional airport.","difficulty":3,"difficultyBand":"medium","totalMarks":4,"sourceTitle":null,"calculatorUse":null,"parts":[{"id":"19506739-eab4-4edc-8568-c564b62c4eec","label":null,"content":"Using this example, explain how the multiplier process leads to a final increase in aggregate demand that is larger than the initial investment.","markscheme":"- Identifies the initial £280 million investment as an injection into the circular flow of income, which directly increases Aggregate Demand ($AD = C + I + G + (X-M)$) M1\n- Explains that this spending represents revenue for contractors and wage income for workers hired to construct the galleries and shuttle terminal M1\n- Explains that these newly employed workers and business owners will spend a portion of their marginal income (determined by the Marginal Propensity to Consume, MPC) on other domestic goods and services A1\n- Concludes that this secondary consumption creates further income for other sectors, triggering successive rounds of spending so that the final cumulative shift in Aggregate Demand is greater than the original £280 million injection A1","marks":4,"order":0,"markingRubric":null,"explanation":null,"options":[]}],"options":[],"explanation":null,"firstAttemptFullMarks":null}],"subjectCode":"a_level_economics__edexcel_a","summaries":[{"id":"04c21a12-7ac7-498c-bb20-8f8e1adaca17","difficultyBand":"easy","calculatorUse":null,"totalMarks":2},{"id":"08993995-d151-4b9e-b18d-a5a6aa865615","difficultyBand":"easy","calculatorUse":null,"totalMarks":1},{"id":"0912b920-79ec-4a7b-a8c0-4259d3821b13","difficultyBand":"easy","calculatorUse":null,"totalMarks":1},{"id":"0e59f7db-b7b7-44a1-8a1b-d201a9836e24","difficultyBand":"medium","calculatorUse":null,"totalMarks":4},{"id":"1009a870-fa6d-42e3-a186-b75a90b6b3d3","difficultyBand":"medium","calculatorUse":null,"totalMarks":1},{"id":"107bee60-0075-499a-b769-444c944cd9a0","difficultyBand":"easy","calculatorUse":null,"totalMarks":1},{"id":"1a0db553-2310-4133-828f-37f989652eb9","difficultyBand":"medium","calculatorUse":null,"totalMarks":6},{"id":"1aa317ee-6017-454c-ab38-c1cb5ebb2515","difficultyBand":"easy","calculatorUse":null,"totalMarks":2},{"id":"1ddd9ff4-980a-4d17-918c-ce7d1823844d","difficultyBand":"medium","calculatorUse":null,"totalMarks":4},{"id":"24c546ea-1193-481d-b1ef-6ef3b7415aa9","difficultyBand":"easy","calculatorUse":null,"totalMarks":2},{"id":"283f6e9d-0d1f-4

2.4 National income

Question 3

2.4 National income Questions

2.4 National income

Question 3

2.4 National income Questions