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If the Marginal Propensity to Save (MPS)is 1/8,the Value of the Simple

Question 119

Multiple Choice

If the marginal propensity to save (MPS) is 1/8,the value of the simple spending multiplier is:

A) 8.
B) 1/8.
C) 2.
D) 1/2.
E) 4.

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