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    Exam 12: Consumption, Real GDP, and the Multiplier
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    The Marginal Propensity to Consume Explains How Much of the Next
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The Marginal Propensity to Consume Explains How Much of the Next

Question 394

Question 394

Multiple Choice

The marginal propensity to consume explains how much of the next dollar of disposable income


A) a household will spend.
B) a business will invest.
C) the government will spend.
D) foreign residents will use to purchase domestic exports.

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