The tax cuts of 2017 increased the 2018 disposable income of households by roughly $200 billion. If the MPC were 0.9, nstructions: Enter your responses as a whole number. a. how much of this windfall was initially saved? %24 180 billion D. how much AD stimulus resulted over time after all multiplier effects? $ 2000 O billion
The tax cuts of 2017 increased the 2018 disposable income of households by roughly $200 billion. If the MPC were 0.9, nstructions: Enter your responses as a whole number. a. how much of this windfall was initially saved? %24 180 billion D. how much AD stimulus resulted over time after all multiplier effects? $ 2000 O billion
Macroeconomics: Principles and Policy (MindTap Course List)
13th Edition
ISBN:9781305280601
Author:William J. Baumol, Alan S. Blinder
Publisher:William J. Baumol, Alan S. Blinder
Chapter8: Aggregate Demand And The Powerful Consumer
Section: Chapter Questions
Problem 8DQ
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![The tax cuts of 2017 increased the 2018 disposable income of households by roughly $200 billion. If the MPC were 0.9,
Instructions: Enter your responses as a whole number.
a. how much of this windfall was initially saved?
%24
180 O billion
b. how much AD stimulus resulted over time after all multiplier effects?
$ 2000
billion](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe2cc1352-00a4-4d15-acbe-565db309ced7%2F1abee570-8453-477d-ad7a-d9cd84d9eb50%2Fmicvkop_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The tax cuts of 2017 increased the 2018 disposable income of households by roughly $200 billion. If the MPC were 0.9,
Instructions: Enter your responses as a whole number.
a. how much of this windfall was initially saved?
%24
180 O billion
b. how much AD stimulus resulted over time after all multiplier effects?
$ 2000
billion
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