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If Autonomous Investment Decreases by $60 Billion,equilibrium Real GDP Demanded ×\times

Question 2

Multiple Choice

If autonomous investment decreases by $60 billion,equilibrium real GDP demanded will


A) increase by $60 billion
B) decrease by $60 billion
C) decrease by ($60 billion) ×\times MPC
D) decrease by $60 billion ×\times (1 - MPC)
E) decrease by $60 billion/MPS

Correct Answer:

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