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Which of the Following Will Not Weaken the Value of the Multiplier

Question 20

Multiple Choice

Which of the following will not weaken the value of the multiplier in an economy in response to a change in autonomous spending?


A) A rise in net imports.
B) A fall in the marginal propensity to consume.
C) An increase in the proportion of tax taken of every euro earned
D) An increase in the interest rate

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