Archive | Multiplier Keynesian

Read this article to learn about the meaning, working, importance, leakages in the working and criticism of multiplier Keynesian. Meaning and the Development: The concept of 'Multiplier' occupies an important place in Keynesian theory of income, output and employment. It is an important tool of income propagation and business cycle analysis. According to Keynes, employment depends upon effective demand, which [...]

Read this article to learn about the ten limitations of Multiplier Keynesian in economics. 1. Availability of Consumer Goods: The process of income generation is subject to the availability of consumer goods. If, with a rise in income, consumer goods are available in sufficient quantity, the process of income generation would be strengthened and multiplier will have a high value. [...]