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Business, 31.03.2020 00:22 TheGingerDevl7762

Assume the economy is in recession and real GDP is below full employment. The marginal propensity to consume (MPC) is 0.80, and the government increases spending by $500 billion. As a result, aggregate demand will rise by a. zero. b. $2,500 billion. c. more than $2,500 billion. d. less than $2,500 billion.

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Assume the economy is in recession and real GDP is below full employment. The marginal propensity to...

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