Suppose the government increases education spending by $20 billion. If the marginal propensity to consume is 0.80,

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Suppose the government increases education spending by $20 billion. If the marginal propensity to consume is 0.80, how much will total spending increase?

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Essentials of Economics

ISBN: 978-1259235702

10th edition

Authors: Bradley Schiller, Karen Gebhardt

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Question Posted: Aug 30, 2017 11:54 PM

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Suppose the government increases education spending by $20 billion. How much additional consumption will this increase cause? Show your work.
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Suppose the government increases education spending by $20 billion. If the marginal propensity to consume is 0.80,

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100 billion Explanation The increased government spending of ...View the full answer

Essentials of Economics

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