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If 20% of Additional Income Received by Households Was NOT

Question 139

Multiple Choice

If 20% of additional income received by households was NOT spent, the economy's total output would grow by:


A) 20% of the initial change in nonincome-determined spending.
B) 80% of the initial change in nonincome-determined spending.
C) 20 times the initial change in nonincome-determined spending.
D) 5 times the initial change in nonincome-determined spending.

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