If the marginal propensity to consume is 0.8 in an economy, a $20 billion rise in...
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If the marginal propensity to consume is 0.8 in an economy, a $20 billion rise in Incomes will do what to GDP? (Tell if it will increase or decrease GDP, and by how much.) Suppose that the level of government spending increased by $100 billion where the marginal propensity to consume is 0.5. Aggregate expenditures must have increased by: The Government has a $.8 Trillion Growth target. What fiscal policy should they implement if MPS-.2? If the marginal propensity to consume is 0.8 in an economy, a $20 billion rise in Incomes will do what to GDP? (Tell if it will increase or decrease GDP, and by how much.) Suppose that the level of government spending increased by $100 billion where the marginal propensity to consume is 0.5. Aggregate expenditures must have increased by: The Government has a $.8 Trillion Growth target. What fiscal policy should they implement if MPS-.2?
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S 6 S rise Multiplier MPC in Incomes will 6 08 do 1 Je 5x 20 billion rise to the 2 x 100 Govt has ... View the full answer
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