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Investments glossary

Marginal Propensity To Import (MPM)


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— Johnny Wowk

The marginal propensity to import (MPM) is the amount imports increase or decrease with each unit rise or decline in disposable income. The idea is that rising income for businesses and households spurs greater demand for goods from abroad and vice versa.

The Multiplier 6 Marginal Propensity to Import
The Multiplier 6 Marginal Propensity to Import
Title
The Multiplier 6 Marginal Propensity to Import
Runtime
6:41
View count
975
Date posted
Feb 17, 2021
The Multiplier Effect, MPC, and MPS (AP Macroeconomics)
Title
The Multiplier Effect, MPC, and MPS (AP Macroeconomics)
Runtime
2:17
View count
520,845
Date posted
Feb 6, 2012
An increase in the marginal propensity to import reduces the equilibrium income in an open economy w
Title
An increase in the marginal propensity to import reduces the equilibrium income in an open economy w
Runtime
1:12
View count
1,767
Date posted
Mar 24, 2021

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