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    Exam 10: Basic Macroeconomic Relationships
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    A $1 Billion Increase in Investment Will Cause a
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A $1 Billion Increase in Investment Will Cause a

Question 145

Question 145

Multiple Choice

A $1 billion increase in investment will cause a


A) (1/MPS) billion increase in GDP.
B) (MPS) billion increase in GDP.
C) (1 − MPC) billion increase in GDP.
D) (MPC − MPS) billion increase in GDP.

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