Multiple Choice
Because of a recession in Japan, net exports from the United States decrease by $10 billion.If the MPC is 0.75, how much less spending will occur in the U.S.economy in the second "round" of spending?
A) $17.5 billion
B) $10 billion
C) $7.5 billion
D) $5.0 billion
Correct Answer:
Verified
Correct Answer:
Verified
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