Assume the marginal propensity to consume is 0.5 (c1 =0.5). Given this data, which of the following events will result in the greatest increase in output? I decreases by 300. O I decreases by 250. G increases by 300. Tincreases by 250. G decreases by 300.
Assume the marginal propensity to consume is 0.5 (c1 =0.5). Given this data, which of the following events will result in the greatest increase in output? I decreases by 300. O I decreases by 250. G increases by 300. Tincreases by 250. G decreases by 300.
Chapter1: Making Economics Decisions
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![Assume the marginal propensity to consume is 0.5 (c1 =0.5). Given this data, which
of the following events will result in the greatest increase in output?
I decreases by 300.
O
I decreases by 250.
G increases by 300.
Tincreases by 250.
G decreases by 300.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F478c8595-7795-4a46-af76-ab0980cbd68e%2F1c3274ef-f668-46e1-a384-ce99017a976e%2F7apymss_processed.png&w=3840&q=75)
Transcribed Image Text:Assume the marginal propensity to consume is 0.5 (c1 =0.5). Given this data, which
of the following events will result in the greatest increase in output?
I decreases by 300.
O
I decreases by 250.
G increases by 300.
Tincreases by 250.
G decreases by 300.
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