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Suppose, as Unrealistic as This Might Be, That Disposable Income

Question 45

Multiple Choice

Suppose, as unrealistic as this might be, that disposable income is zero for a country. Given this information, we know that:


A) private saving is negative.
B) consumption must be zero.
C) the propensity to save must be zero.
D) private saving must be zero.
E) private saving must be positive.

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