Assertion (A): Multiplier effect is weaker in developing economies. Reasoning (R): Higher marginal propensity to save reduces multiplier value.

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Economics · Keynesian Economics

Verified Solution4 OptionsUpdated: October 2026👁️1 View

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Both (A) and (R) are true and (R) explains (A).

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Answer 1

Both (A) and (R) are true and (R) explains (A).

Answer 2

Both (A) and (R) are true but (R) does not explain (A).

Answer 3

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Answer 4

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