Question: If MPC = 0 . 5 , a simultaneous increase in both taxes and government spending of $ 2 0 will decrease GDP by $

If MPC =0.5, a simultaneous increase in both taxes and government spending of $20 will
decrease GDP by $20.
decrease GDP by $40.
increase GDP by $20.
increase GDP by $40.
If MPC = 0 . 5 , a simultaneous increase in both

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