Neco Model Questions Vol1 2024 Economics Question 21
Practice objective / multiple choice question 21 from the 2024 Neco Model Questions Vol1 Economics examination.
During a five‑year period the real GDP of a country rose from \(\text{₦}2.5\) trillion to \(\text{₦}3.0\) trillion while its population increased from 150 million to 165 million. In the final year the government's policy raised net investment as a proportion of GDP from 20 % to 25 %. If the marginal propensity to consume (MPC) is 0.8, estimate the change in average per‑capita disposable income that can be attributed to the increase in net investment, using the simple Keynesian multiplier. Give your answer in Naira (rounded to the nearest Naira).
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About This Question
This is Neco Model Questions Vol1 2024 Economics Question 21. It is one of the objective questions from the 2024 Neco Model Questions Vol1 Economics examination.
Difficulty level: Hard .
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