Enter the total change in imports (\$) and the total change in income or production (\$) into the Marginal Propensity to Import Calculator. The calculator will evaluate the Marginal Propensity to Import.

## Marginal Propensity to Import Formula

The following two example problems outline the steps and information needed to calculate the Marginal Propensity to Import.

MPM = dI / dP

Variables:

• MPM is the Marginal Propensity to Import (\$/\$)
• dI is the total change in imports (\$)
• dP is the total change in income or production (\$)

## How to Calculate Marginal Propensity to Import?

The following steps outline how to calculate the Marginal Propensity to Import.

1. First, determine the total change in imports (\$).
2. Next, determine the total change in income or production (\$).
3. Next, gather the formula from above = MPM = dI / dP.
4. Finally, calculate the Marginal Propensity to Import.
5. After inserting the variables and calculating the result, check your answer with the calculator above.

Example Problem :

Use the following variables as an example problem to test your knowledge.

total change in imports (\$) = 300,000

total change in income or production (\$) = 400,000

MPM = dI / dP = ?