Suppose that the MPS = 0.2 and the government is interested in raising the level of output in the economy by $100 billion. Calculate the marginal propensity to consume.
Suppose that the MPS = 0.2 and the government is interested in raising the level of output in the economy by $100 billion. Calculate the marginal propensity to consume.
Chapter9: The Keynesian Model In Action
Section: Chapter Questions
Problem 8SQ
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Suppose that the MPS = 0.2 and the government is interested in raising the level of output in the economy by $100 billion. Calculate the marginal propensity to consume.
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