Essay
Explain why the size of the government spending multiplier is smaller in an open economy than in a closed economy.
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Correct Answer:
Verified
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Q41: Calculate the open-economy multiplier where the MPC
Q42: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2925/.jpg" alt=" -Using the graph
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Q45: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2925/.jpg" alt=" -Using the graph
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Q50: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2925/.jpg" alt=" -Using the above
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