Marginal Propensity to Import Concept
In macroeconomics, the expression Marginal Propensity to Import designates the variation in monetary terms, the imports’ value in consequence of the increase of a monetary unit in the value of the product (or GNP). Marginal Propensity to Import concept is directly related with the Marginal Propensity for Consumption concept: whenever occurs a product’s increase (and therefore of the income), it’s natural that the consumption increases according to a certain rate, being that part of that consumption will be directed to imported goods.
1278 Visualizações 1 Total
