Question

What is the formula for Propensity to invest?

विकल्प

• \[I_g=I_n+I_r\]

• \[\mathrm{P_I}=\frac{I}{Y}\]

• \[MPI=\frac{\Delta Y}{\Delta I}\]

• \[I_n=I_g-I_r\]

Answer 1

Propensity to invest is expressed as \[\mathrm{P_I}=\frac{I}{Y}\]. Here, \[I\] is Aggregate Investment and \[Y\] is Aggregate Income.