Marginal propensity to consume
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A firm purchases a new computer system for $1M. If the marginal propensity to consume is 0.8, the final change in national income will be
a. $800,000
b. $1M
c. $1.2M
d. $4M
e. $5M
Which answer is correct, can you explain
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Responses discusses the impact of marginal propensity to consume on Income
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A firm purchases a new computer system for $1M. If the marginal propensity to consume is 0.8, the final change in ...
Purchase this Solution
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