Assume the economy is in a recession, and it is estimated that a change of $800 billion in federal government spending will boost GDP by $4,000 billion this year. Based on this information, what is the value of the MPC used in this forecast?
Assume the economy is in a recession, and it is estimated that a change of $800 billion in federal government spending will boost GDP by $4,000 billion this year. Based on this information, what is the value of the MPC used in this forecast?
Chapter9: Demand-side Equilibrium: Unemployment Or Inflation?
Section9.A: The Simple Algebra Of Income Determination And The Multiplier
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*Assume the economy is in a recession, and it is estimated that a change of $800 billion in federal government spending will boost
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