Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said Malaysia is expected to continue recording a slower economic growth in 2Q 2020 due to the Covid-19 pandemic, based on the near-term economic direction portrayed by the Leading Index (LI) for the reference month of February 2020. Mohd Uzir said GDP growth for 1Q 2020, meanwhile, was dragged by negative growth across all sectors except for services and manufacturing which grew 3.1% and 1.5% respectively. "Private final consumption expenditure in this quarter was on essential products such as food and non-alcoholic beverage, communication and housing, water, electricity and other fuels," he said in a statement on Malaysia's economic performance in 1Q 2020, today. He added that the Movement Control Order (MCO), which began on March 18, has resulted in lower household expenditure, which in turn, directly affected the industries related to food and beverage, accommodation, transportation, sports and recreation. Source: Muhammed Ahmad Hamdan (May 13, 2020), Malaysia's 1Q GDP growth drops to 0.7%, lowest since 2009, theedgemarkets.com 1.Beside MCO, discuss other TWO factors that could shift the consumption schedule. 2.Differentiate between the average propensity to consume and the marginal propensity to consume. Provide formula in each case
Refer to the statement below and answer the following questions:
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Chief statistician Datuk Seri Dr Mohd Uzir Mahidin said Malaysia is expected to continue recording a slower Mohd Uzir said GDP growth for 1Q 2020, meanwhile, was dragged by negative growth across all sectors except for services and manufacturing which grew 3.1% and 1.5% respectively. "Private final consumption expenditure in this quarter was on essential products such as food and non-alcoholic beverage, communication and housing, water, electricity and other fuels," he said in a statement on Malaysia's economic performance in 1Q 2020, today. He added that the Movement Control Order (MCO), which began on March 18, has resulted in lower household expenditure, which in turn, directly affected the industries related to food and beverage, accommodation, transportation, sports and recreation. Source: Muhammed Ahmad Hamdan (May 13, 2020), Malaysia's 1Q GDP growth drops to 0.7%, lowest since 2009, theedgemarkets.com
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1.Beside MCO, discuss other TWO factors that could shift the consumption schedule.
2.Differentiate between the average propensity to consume and the marginal propensity to consume. Provide formula in each case.
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