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    Exam 12: Consumption, Real GDP, and the Multiplier
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    If the Marginal Propensity to Consume (MPC) Is 0
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If the Marginal Propensity to Consume (MPC) Is 0

Question 426

Question 426

Multiple Choice

If the marginal propensity to consume (MPC) is 0.85, the multiplier is


A) 6.67.
B) 5.
C) 8.5.
D) 15.

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