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    Macroeconomics Study Set 11
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    Exam 15: Expectations, consumption, and Investment
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    Explain Why Current Consumption Is Likely to Respond Less Than
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Explain Why Current Consumption Is Likely to Respond Less Than

Question 38

Question 38

Essay

Explain why current consumption is likely to respond less than one for one to changes in current income.

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A change in current income is not likely...

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