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    Economics A Contemporary Introduction
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    Exam 9: Aaggregate Expenditure and Aggregate Demand
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    If the Marginal Propensity to Consume Is Equal to 0
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If the Marginal Propensity to Consume Is Equal to 0

Question 83

Question 83

Multiple Choice

If the marginal propensity to consume is equal to 0.70 and income rises by $20 billion,then consumption spending will rise by


A) $ 6 billion
B) $14 billion
C) $20 billion
D) $28 billion
E) $67 billion

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