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If the marginal propensity to consume is 0.9, every $10 billion increase in taxes will cause a maximum change in real GDP of 100 billion 90 billon 9 billion -10billion -90 billion

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

If the marginal propensity to consume is 0.9, every $10 billion increase in taxes will cause a maximum change in real GDP of 100 billion 90 billon 9 billion -10billion -90 billion

Definition Video Definition Overall monetary value of all the complete or final services and goods that a country can produce within its domestic boundaries in a specific period. Video

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