If equilibrium output rises by a total of 400 billion in
If equilibrium output rises by a total of $400 billion in response to an increase in government spending of $80 billion, what is the marginal propensity to consume? (the answer in .8 but I need an explanation on how/why)
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if equilibrium output rises by a total of 400 billion in response to an increase in government spending of 80 billion
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