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    As the Marginal Propensity to Consume (MPC) Decreases, the Spending
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As the Marginal Propensity to Consume (MPC) Decreases, the Spending

Question 36

Question 36

Multiple Choice

As the marginal propensity to consume (MPC) decreases, the spending multiplier


A) increases.
B) decreases.
C) remains constant.
D) becomes indefinable.

Correct Answer:

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