Question: Question 6 (3 marks) Consider economy A. It has a marginal propensity to save out of disposable income of 0.60, a marginal propensity to

Question 6 (3 marks) Consider economy A. It has a marginal propensity 


Question 6 (3 marks) Consider economy A. It has a marginal propensity to save out of disposable income of 0.60, a marginal propensity to import of 3.25 percent, and a net tax rate of 0.045. Calculate the magnitude of the multiplier.

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