Solved

If an Economy Spends 90 Percent of Any Increase in Real

Question 71

Multiple Choice

If an economy spends 90 percent of any increase in real GDP, then an increase in investment of $1 billion would result ultimately in an increase in real GDP of:


A) $0.
B) $0.9 billion.
C) $1.0 billion.
D) $10 billion.

Correct Answer:

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