If the MPC is 0.7 and investment increases by $4 billion, the equilibrium GDP will Multiple Cholce Increase by $13.3 billion. Increase by $2.8 billion. decrease by $5.71 billion. Increase by $5.71 billion.

If the MPC is 0.7 and investment increases by $4 billion, the equilibrium GDP will Multiple Cholce Increase by $13.3 billion. Increase by $2.8 billion. decrease by $5.71 billion. Increase by $5.71 billion.

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter19: The Keynesian Model In Action

Section: Chapter Questions

Problem 13SQ

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If the MPC is 0.7 and investment increases by $4 billion, the equilibrium GDP will
Multiple Cholce
Increase by $13.3 billion.
Increase by $2.8 billion.
decrease by $5.71 billion.
Increase by $5.71 billion.

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