UGC NET
Indu dhiman Asked a Question
May 6, 2021 12:58 pmpts 30 pts
  • UGC NET
  • Economics

Suppose that in 2006 the slope of the ae cyrve is 0.67 and in 2007 the slope of the ae curve changes to 0.8. which of the following best describes what happen t

suppose that in 2006 the slope of the AE cyrve is 0.67 and in 2007 the slope of the AE curve changes to 0.8. which of the following best describes what happen to the multiplier ?
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  • Reshma gupta thankyou
    multiplier = 1/(1 - slope of the AE curve). for 0.67, multiplier= 1/1-0.67 1/0.33=3.03 if 0.8 ae curve then multiplier would be = 1/ 1-0.8 1/0.2=5 mult...
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  • Indu dhiman
    answer this
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