For each of the following values for the mpc determine the
For each of the following values for the MPC, determine the size of the simple spending multiplier and the total change in real GDP demanded following a $10 billion decrease in autonomous spending:
a. MPC = 0.9
b. MPC = 0.75
c. MPC = 0.6
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for each of the following values for the mpc determine the size of the simple spending multiplier and the total change
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if consumption increases by 12 billion when real disposable income increases by 15 billion what is the value of the mpc
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