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Answer to Question #299212 in Macroeconomics for topaztee

Question #299212

In Goa, India the multiplier effect of iron ore export is calculated to be 1.62. Vidyut kumar ta, iron ore mining gives impetys to Goa's economy Times of India, April 30 2003. Calculate the impact of an additional 1000 rupees of iron ore exports on the economy of Goa

1
Expert's answer
2022-02-21T12:08:35-0500

"\\Delta" GDP for each price level=multiplier "\\Delta" (component of AD)

"\\Delta" GDP for each price level="1.62\\times1000=1620 rupees"


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