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When Income Is $200 Billion, Consumption Spending Is $175 Billion

Question 82

Multiple Choice

When income is $200 billion, consumption spending is $175 billion. When income is $220 billion, consumption spending is $189 billion. What is the marginal propensity to save?


A) 2
B) .3
C) .7
D) 1.4

Correct Answer:

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