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Suppose Herbert Spends Two-Thirds of Any Extra Income He Receives

Question 85

Multiple Choice

Suppose Herbert spends two-thirds of any extra income he receives.And suppose that Herbert engages in new autonomous spending of $10, which causes equilibrium to increase.What is the amount of the equilibrium increase?  


A)  $6.67 
B)  $15.00 
C)  $16.67 
D)  $30.00

Correct Answer:

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