If government purchases increased by 20 billion other


Question: If government purchases increased by $20 billion, other things being equal, what would be the resulting change in aggregate demand, and how much of that change would be a change in consumption, if the MPC were

a. 1/3?

b. 1/2?

c. 2/3?

d. 3/4?

e. 4/5?

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Microeconomics: If government purchases increased by 20 billion other
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