For an econmomy with a MPC of .80 the multiplier will be 5 4 a magnitue of 1 less than the tax multiplier determined by the elasticity of the money supply
For an econmomy with a MPC of .80 the multiplier will be 5 4 a magnitue of 1 less than the tax multiplier determined by the elasticity of the money supply
Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter18: Debates In Macroeconomics Over The Role And Effects Of Government
Section: Chapter Questions
Problem 1WNG
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For an econmomy with a MPC of .80 the multiplier will be
5
4
a magnitue of 1 less than the tax multiplier
determined by the elasticity of the money supply
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