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What is difference between Autonomous Expenditure and Induced Expenditure?
Wiki User
∙ 12y ago
AUTONOMOUS AND INDUCEDEXPENDITURE :
Autonomous expenditure is independent of
changes in real GDP, whereas induced expenditure
varies as real GDP changes. In general, a change in
autonomous expenditure creates a change in real
GDP, which in turn creates a change in induced
expenditure. The induced changes are at the heart
of the multiplier effect.
Induced expenditure is the sum of the components
of aggregate expenditure that change with
GDP.
♦ Autonomous expenditure is the sum of the components
of aggregate expenditure that do not
change when real GDP changes.
Wiki User
∙ 12y ago
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Difference between autonomous and induced investment?
when an increase in investment is due to increase in current level of income and production, it is known as induced investment The autonomous invesment is generally associated with such factors as the introduction on new techniques or products, the development of new resources or the growth of population and labour force
What are the principles of comparative and absolute advantage and their relevance in the development of third world countries?
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What is the difference between operating costs and revenue expenditure?
They are synonyms.
What is the difference between investment and expenditure?
An investment you expect a return, with the other, you don't.
What are the difference between the import expenditure and the export expenditure in the economy?
Import expenditure refers to the money spent on imported goods. It is an expenditure because it refers to capital outflow. Export expenditure is the money spent on semi-finished goods, used for export.
Difference between autonomous and induced investment?
when an increase in investment is due to increase in current level of income and production, it is known as induced investment The autonomous invesment is generally associated with such factors as the introduction on new techniques or products, the development of new resources or the growth of population and labour force
What is the differentiate between capital expenditure and recurrent expenditure and what are some examples?
Check out the related link to see the difference between capital expenditure and recurrent expenditure as well as some examples.
What is the difference between income and expenditure incurred?
Inflow of money is income . Outflow of money is expenditure
What are the principles of comparative and absolute advantage and their relevance in the development of third world countries?
what is the difference between capital and current expenditure what is the difference between capital and current expenditure
Difference between expenditure management and revenue management?
Expenditure is money going out, revenue is money coming in.
What is the difference between operating costs and revenue expenditure?
They are synonyms.
Distinquish between savings and financial surplus?
This is the difference between Income and Expenditure in a non-profit making business, where the income exceeds expenditure
What is the difference between capital income and capital expenditure?
Income is money coming in, expenditure is money going out (spending).
What is the difference between induced and autonomous investment?
Induced investment refers to the investment that is influenced by changes in the level of income in the economy. When income increases, induced investment also increases, and vice versa. On the other hand, autonomous investment is independent of changes in income and is determined by factors such as government policies, technological advancements, and business expectations. Autonomous investment does not vary with changes in income levels.
What is the difference between autonomous region and administrative region?
Administrative Region: a region that is in the lowlands Autonomous Region: a region that is in the highlands
What is net flow?
Net cash flow is the difference between income and expenditure.
What is the net flow?
Net cash flow is the difference between income and expenditure.
