CourseCourseConceptConceptDocsDocuments

IB Economics HL 3.6.4 Hl Keynesian Multiplier Questions

Practise 3.6.4 (HL) Keynesian multiplier in IB Economics HL by reviewing the concepts and applying them to marked questions.

Syllabus
First assessment 2022
Course
Economics HL
Level
HL

Exam points

  • The Keynesian multiplier equals 1 / (1 - MPC) or 1 / (MPS + MPT + MPM)
  • MPC is marginal propensity to consume; MPS to save; MPT to tax; MPM to import
  • Calculation [HL]: Keynesian multiplier
  • Calculation [HL]: effect on GDP from a change in investment, government spending, or exports

Learn this topic

Study 3.6.4 (HL)—Keynesian multiplier conceptsOpen the corresponding Concept lesson for explanations, examples and exam connections.

IB Economics HL 3.6.4 Hl Keynesian Multiplier Questions question 1

[Maximum number: 3]

The data in Table 2 refer to Kanyaland, a small, open, developing economy in 2019. All data are in billions of Kanyaland dollars (K$).

Table 2

Table 2

If the government increased expenditures by K$21\mathrm{K}\$21 billion, calculate the new level of GDP achieved.

All question bank results loaded